Treasury Yields Target 6%: What it Means for Bitcoin
Rick Bensignor, founder of Bensignor Investment Strategies, thinks US 10-year Treasury yields could reach 6.07%. That would be a level not seen since before Bitcoin existed, back in April 2000.
He based this prediction on a multi-year uptrend line and a 200-week moving average that flagged the recent low near 4%. Bensignor also pointed out that the historical range for the 10-year yield is wide, from its record low of around 40 basis points to its peak at 15.8% in the early 1980s.
The strategist's target of 6.07% would pose a significant challenge to Bitcoin's debasement trade narrative, which ties BTC's price to concerns about US debt. The current level of US federal debt is over $40 trillion, while Bitcoin trades near $80,138, roughly 37% below its record high.
Bensignor warned that higher yields would likely pull capital toward safer income-generating assets and away from speculative ones like cryptocurrencies, putting pressure on Bitcoin's price. He emphasized that his target isn't a forecast for next week but rather a long-term prediction of what the 10-year yield could reach.