Yields Could Hit Historic High, Putting Bitcoin's Price at Risk

US Treasury yields are on the rise, and some market strategists believe they could hit 6% again. Rick Bensignor, founder of Bensignor Investment Strategies, thinks the 10-year yield could climb towards 6.07%, a significant increase from its current level of around 4.78%. This would be a major milestone, as it's been roughly eight years since yields were near this level in April 2000.

Bensignor pointed to a multi-year uptrend line and a 200-week moving average that flagged the recent low near 4% as evidence of the potential increase. He also noted that the historical range for the 10-year yield is wide, having peaked at 15.8% in the early 1980s and bottomed near 40 basis points at its record low.

But what does this mean for Bitcoin? Rising yields typically pull capital towards safer assets, pulling money away from speculative ones like BTC. This could pressure the debasement trade narrative that ties BTC's price to concerns about US debt. With the US federal debt having passed $40 trillion and Bitcoin trading near $80,138, roughly 37% below its record high, a widening gap between debt fears and BTC's price is possible.