Key Takeaways
- • Bitcoin fell to $67,652, down more than 3.5% on the day and 16% over the month, after breaking below its 200-week moving average of roughly $68,000, according to CoinDesk.
- • The U.S. Dollar Index (DXY) rose above 103 while government bond yields climbed across the United States, United Kingdom, France, Germany and Japan.
- • The 10-year U.S. Treasury yield reached 5.15% in a later update, adding nearly 30 basis points over the week; analyst Jim Bianco noted such a weekly move had occurred only four other times recently.
- • Perpetual Bitcoin futures funding rates turned negative for the first time in a month near $68,500, per Glassnode data, signaling bearish positioning among short-sellers.
- • Gold traded below $3,900 per ounce and technology stock futures declined, while WTI traded at $89 and Brent above $96 per barrel after partially recovering from an earlier drop.
Summary
Bitcoin fell to $67,652, losing more than 3.5% over the day and 16% over the month, and slipped below its 200-week moving average, which stood at about $68,000, CoinDesk reported. The break of this long-term technical level marks a notable deterioration in the asset's trend.
The decline coincided with strength in the U.S. dollar and a broad rise in sovereign bond yields. The U.S. Dollar Index (DXY) rose above 103, while government bond yields increased in the United States, United Kingdom, France, Germany and Japan. At one point the 10-year U.S. Treasury yield stood at 5.125% and the 30-year at 5.459%. In a later update, CoinDesk reported the 10-year yield had risen to 5.15%, an increase of nearly 30 basis points over the week. Analyst Jim Bianco observed that such a rise of more than 25 basis points in a single week had occurred only four other times recently.
Derivatives data pointed to defensive positioning. According to Glassnode, the average funding rate for perpetual Bitcoin futures across crypto exchanges turned negative for the first time in a month when the price fell to about $68,500. A negative funding rate means traders holding short positions pay those holding long positions, which reflects bearish sentiment in the market.
Cross-asset moves were mixed. Gold traded below $3,900 per ounce and technology stock futures declined. Oil partially recovered from an earlier drop, with WTI trading at $89 per barrel and Brent above $96.
The decline coincided with strength in the U.S. dollar and a broad rise in sovereign bond yields. The U.S. Dollar Index (DXY) rose above 103, while government bond yields increased in the United States, United Kingdom, France, Germany and Japan. At one point the 10-year U.S. Treasury yield stood at 5.125% and the 30-year at 5.459%. In a later update, CoinDesk reported the 10-year yield had risen to 5.15%, an increase of nearly 30 basis points over the week. Analyst Jim Bianco observed that such a rise of more than 25 basis points in a single week had occurred only four other times recently.
Derivatives data pointed to defensive positioning. According to Glassnode, the average funding rate for perpetual Bitcoin futures across crypto exchanges turned negative for the first time in a month when the price fell to about $68,500. A negative funding rate means traders holding short positions pay those holding long positions, which reflects bearish sentiment in the market.
Cross-asset moves were mixed. Gold traded below $3,900 per ounce and technology stock futures declined. Oil partially recovered from an earlier drop, with WTI trading at $89 per barrel and Brent above $96.
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