Bitcoin falls under $64K as surging US bond yields boost Fed rate-hike odds
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- Bitcoin fell more than 1.6% on Friday, dipping below $64,000 after Wall Street opened, with TradingView data showing bulls struggling to preserve recent gains.
- Mosaic Asset Company pinned the sell-off on surging US Treasury yields, noting the 2-year hit 4.31% — "well above" the Fed's target range — despite a weaker-than-expected consumer inflation report.
- CME Group's FedWatch Tool showed markets still price the Fed to hold rates unchanged next week, while factoring in a 0.25% September hike and a second increase before end of 2026.
- Crypto trader Killa flagged a Binance "plunge protection team" layering bid liquidity below spot price to prevent a deeper BTC rout, a pattern Killa first identified in early June.
- Analyst Rekt Capital argued BTC/USD is still tracking 2022 bear market tendencies, rejecting from the 50-month exponential moving average at $65,950 without evidence to the contrary.
- Analytics account Wealthmanager warned that a break below $64,000 would "invalidate" the low-timeframe market structure.
Why it matters: Bitcoin's slide below $64,000 shows bond yields — not CPI — are driving crypto's near-term path. The 2-year at 4.31% is compressing risk appetite, and with FedWatch pricing two hikes before end-2026, BTC traders face a tighter monetary backdrop even as markets price a hold at next week's FOMC meeting.
