$BTC #sevenstarcfi 🔴Trump Bitcoin Trade Hit by Rising Yields, Strong US Dollar🤑
Bitcoin’s ability to hold $100K is being stymied by rising Treasury yields and a stronger dollar. Is the ‘Trump Deal’ Over?
The new year kicked off as markets prepared for President-elect Donald Trump’s inauguration into the White House, with uncertainty gripping global markets as US Treasury yields hit yearly highs and riskier assets retreated amid speculation over potential tariffs under the incoming administration.
Bitcoin’s Rally Fades
Bitcoin’s brief flirtation with $100,000 quickly fizzled out, with the cryptocurrency posting a negative return of around 6% over the past 30 days, while other digital assets suffered steeper losses. “The correlation between Bitcoin and US interest rates has historically been negative,” Eloisa Cadenas, chief innovation officer at Monetae Exchange, told Cointelegraph.
“Markets like Bitcoin and cryptocurrencies rely on available liquidity to drive growth, and high Treasury yields in particular are reducing global liquidity, making traditional instruments like bonds more attractive.”