Analysts see 10-year Treasury yield hitting 6%. Bitcoin bulls shouldn't panic
Summary
Some analysts say the 10-year Treasury yield could reach 6%, driven by U.S. deficits, debt concerns and competition for capital from large technology companies. The effect on bitcoin depends on the cause: Fed-driven rate hikes have coincided with bitcoin declines, while fiscal-risk-driven yield rises since late 2023 have accompanied a roughly doubling in bitcoin’s price. Markus Thielen argues investors are demanding more compensation to hold long-term government debt, while Dan Niles also sees 6% as plausible. The bullish case for bitcoin weakens if yields rise because the Fed resumes rapid tightening.
