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Bitcoin (BTC) Prices Drop as Traders Pare March Fed Rate Cut Bets

8 January 2024
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Bitcoin (BTC) Prices Drop as Traders Pare March Fed Rate Cut Bets
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The 10-year Treasury yield, the so-called risk-free rate, has risen by 15 basis points to 4.05% since Friday, also a sign of traders reassessing dovish Fed expectations or the possibility of the central bank delaying the rate cut. The benchmark yield fell by nearly 80 basis points to 3.86% in the final three months of 2023, offering a tailwind to risk assets, including bitcoin, thanks to expectations for aggressive Fed rate cuts and lesser-than-expected bond issuance by the U.S. Treasury.

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