Bitcoin Plunges Below $85K as US Yields Reach 19-Year High

BTC slipped below $85,000 on Wednesday after the US 10-year Treasury yield surged past 5% to its highest level in 19 years.

The yield spike was triggered by September's flash PMI data, which blew past forecasts and reached a five-year high of 58.4.

This signals that the bond market now expects the Fed to lean more hawkish rather than less, according to widely-followed crypto analyst Bull Theory.

The two-year yield also touched a 27-month high, adding to the tension between faster growth and rate cuts.