Analyst Warns US Debt Crisis Is Possible — Rising Treasury Yields, Inflation...
Wall Street’s major indexes closed the day in red on Tuesday, alongside cryptocurrencies, and precious metals like gold and silver taking some percentage losses. The leading crypto asset bitcoin dropped 5.87% under the $19K region, while the second largest crypto asset ethereum shed 8.7%. Gold’s nominal U.S. dollar value per troy ounce slipped by 0.50%, while silver dropped by 0.74% on September 6. Meanwhile, a recent rise in U.S. Treasury yields has been concerning and one analyst thinks the anomaly could spark an American debt crisis. Stocks Sink Lower, Crypto Economy....
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A recent report from Pantera Capital said moves in the debt market and the Fed’s shifting monetary policy could be the fodder that fuels Bitcoin’s next monster rally. There has been a lot of focus on the performance of the stock and cryptocurrency markets over the past year or two as the trillions of dollars that have been printed into existence since the start of the COVID pandemic have driven new all-time highs, but analysts are now increasingly sounding the alarm over warning signs coming from the debt market. Despite holding interest rates at record low levels, the cracks in the system....
Bitcoin sees weakening momentum as the U.S. dollar recovers and Treasury yields rise. The price of Bitcoin (BTC) is struggling to break past $51,000 on March 8 as the U.S. Treasury yield is rising again, while the U.S. Dollar Index (DXY) is at the highest levels in over three months.The global stock market, including equities in the United States and Asia, has pulled back in tandem as the U.S. Senate's stimulus approval has sparked inflation fears.BTC (orange) vs. DXY (green) vs. Treasury yield (blue). Source: TradingviewWhy is Bitcoin dropping off of inflation fears?As Welt market analyst....
With high market uncertainty, low inflation, and negative interest rates in many countries, it’s becoming harder for investors to ignore Bitcoin, which is one of the very few investments these days to offer an alternative to further losses. Bond Yields Going Negative Globally. Amid recent market turmoil following Brexit, slashing of forecasts and credit....
The intricate dance between Bitcoin, crypto and real yields is becoming increasingly pronounced. As the world of traditional finance grapples with the implications of shifting real yields, the BTC and crypto market is not immune to these fluctuations. For the uninitiated, the ‘real yield’ refers to the yield on US treasuries, adjusted for inflation. This metric is pivotal in understanding the broader financial ecosystem, and its movements can have profound implications for risk assets, including Bitcoin and other cryptocurrencies. Higher Real Yields = Bitcoin And Crypto Down....
BTC dropped below $56,000 on Sunday as several bearish signs emerged. The price of Bitcoin (BTC) dipped below $56,000 on March 21 after repeated rejections by the $60,000 resistance level throughout the past four days.BTC/USD 1-hour candle chart. Source: TradingviewDespite getting closer to cleanly breaching past the key technical level, Bitcoin has been showing weakness in the $59,000 to $60,500 range.There are three major reasons behind the stagnation: the rise in Treasury yields, bearish movements on Bitfinex, and the struggle of the risk-on market.High U.S. Treasury yields cause....