US Treasury Yields May Rise to 6%, Bitcoin Impact Uncertain

Expectations for interest rate hikes by the Federal Reserve have risen to 70%. The 10-year Treasury yield has surpassed 5.24%, reaching its highest level since 2007, with a new target set at 6%. This level was last seen in 2000. Markus Thielen, founder of 10x Research, noted that the increasing budget deficits and public debt in the US have driven up interest rates. Thielen emphasized the importance of the reasons behind the Fed's rate hikes. After 2021, the Fed's aggressive rate increases raised Treasury yields and led to a 64% drop in Bitcoin in 2022. However, from the end of 2023, while the 10-year Treasury yield rose from 3.88% to 5.24%, Bitcoin's value increased from 40,000 to 126,000. Thielen stated that if interest rates rise due to financial concerns and risk premiums, it could have negative consequences for Bitcoin.

This content is provided for general informational purposes only and doesn't constitute financial, investment, legal, or tax advice. Any events, rewards, online promotions, or related information mentioned herein should not be considered a recommendation, solicitation, or invitation to purchase, sell, trade, or otherwise deal in any crypto assets. Crypto assets are highly volatile and may result in loss. The availability of WEEX services, products, and related events may vary by region. You are responsible for ensuring that your participation is in accordance with applicable local laws and regulations.