Rising Treasury Yields Pressure Bitcoin as $64,000 Support Fades

The rise in US Treasury yields is putting pressure on risk assets, including Bitcoin. The two-year yield has reached 4.31%, surpassing the Federal Reserve's target range and causing investors to become more cautious.

Bitcoin has tested the $64,000 level but is struggling to maintain its recovery from recent lows. Analysts are warning that a decisive move below this level could invalidate Bitcoin's bullish structure.

The relationship between bond yields and Bitcoin prices is not always straightforward. In May 2023, the yield on 30-year US Treasuries climbed to 5.15% while Bitcoin reached an all-time high. This suggests that higher yields do not automatically lead to lower Bitcoin prices.

Investors are preparing for the possibility of renewed monetary tightening or a shift towards lower rates. A sustained move above the 50-month EMA near $65,950 would weaken the bearish comparison, while a confirmed break below $64,000 could increase the risk of a deeper correction.