Bitcoin Soars 45% Amid Rising US Treasury Yields

The rise of US Treasury yields and expectations of further rate hikes have not dampened demand for Bitcoin. Despite the 10-year US Treasury yield hovering around 5.2% and market expectations of a 70.9% probability of another rate hike in October, BTC has surged 45% since July 1.

The strong demand from Exchange-Traded Funds (ETFs) is contributing to this increase in Bitcoin's value. The surge in US Treasury yields typically suggests a stronger economy and higher inflation expectations, which can be bearish for assets like gold and some stocks. However, the market is pricing in another rate hike, indicating that investors are prepared for further monetary tightening.