Bond Yields Reach 2007 High, Threatening Crypto Market

The U.S. Treasury yield reached its highest level since July 2007, climbing to 5.234% on July 30th and easing to 5.185% on July 31st.

This increase in bond yields makes government debt more attractive relative to risk assets, which could harm the crypto market.

The Federal Open Market Committee held interest rates between 3.5% and 3.75%, describing the economy as strong but flagging energy-driven inflation as a concern.

U.S. investors have adjusted their positions, with Netflows across listed U.S. crypto products posting a sharp drop to $24.7 million on July 31st.