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Money doesn’t stay in one place for long, it moves to wherever the return looks better.
When bond yields rise, bonds start paying more, so investors shift their money there. At the same time, borrowing gets more expensive, which slows things down across markets.
Because of that, people pull money out of riskier assets first, and crypto usually feels it the most.
Bitcoin especially depends on liquidity, so rising yields are not something to ignore.
If yields keep climbing, it can add more pressure on crypto and other risk assets.
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