As much of the world celebrates Christmas, Bitcoin (BTC) appears poised to reclaim the $100,000 point after falling below $93,000 just before the holiday.
However, the surge stalled just above $99,800 when Asia opened on Thursday morning and temporarily fell to around $95,000 a few hours later.
At press time, Bitcoin is trading at $95,300, down 3. 1% in the last 24 hours.
The broader CoinDesk 20 index is down 4. 2% over the same period, and cryptocurrencies ETH, SOL, XRP, ADA and AVAX on that indicator posted losses of 4-7%.
U.S. markets are open on Thursday, and stock index futures are pointing to modest early losses; gold and oil are marginally in the green.
The movement in the value of cryptocurrencies over the last 48 hours is actually very low volume and Bitcoin has still more than doubled since the beginning of the year, but it may have been forgotten in last week’s dips that the tailwind of lower interest rates would possibly have a headwind.
The 10-year Treasury yield continued to rise early Thursday, now at 4. 63% and some core issues from their 2024 peak. The yield is now holding up across nearly a hundred foundation issues since the The Federal Reserve government reduced short-term reference rates in 50 foundation issues in September.
Macroeconomics researcher Jim Bianco noted that the immediate rise in long-term rates after a Federal Reserve rate cut is almost unprecedented in trendy financial history. “The bond market will continue to sell (outperform) as the Fed communicates on rate cuts in 2025,” Bianco said. “If the Federal Reserve doesn’t give up on its plan to cut rates, bond yields will rise enough to start breaking things down, breaking down inflation. “
Stephen is the Chief Markets Editor at CoinDesk. In the past he was editor of Seeking Alpha. Originally from the suburbs of Washington, D. C. , Stephen attended the Wharton School of the University of Pennsylvania, majoring in finance. Keeps BTC above CoinDesk’s disclosure threshold of $1,000.
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