The Bitcoin (BTC) price continued to fall below $ 49,000 on March 5 when the US Dollar Index (DXY) reached its highest level since November 2020.

Meanwhile, the potential for price increases and a potential peak in the stock market puts pressure on stocks and bitcoin, forcing the entire cryptocurrency market to retreat.

Rising Treasury Yields – The Biggest Threat to Bitcoin?
Bitcoin and its risky assets in general have been hit hard by the ten-year US government bond yield. As a result, the global macroeconomic landscape deteriorated.

Kyle Davis, CEO of Three Arrows Capital, said:

“I do not care about your assessment, but if the prices stay the same, we will all withdraw, and if the prices go up, we will all go back to school.”
The US stock market, especially the S & P500, has already lost all profits since 2021, according to Bloomberg.

If the risky market continues to correct or consolidate, it is likely to have a negative impact on the price of Bitcoin in the near future.

Cryptocurrency trader Scott Melker said Bitcoin is likely to fall within reach. There is considerable sales pressure and strong buying, which puts it in a tight range. He said:

“Most likely we fall within reach here. A lot of sales at the top (awakens), many purchases at the bottom (awakens). It is good to see a clear shift from supply to demand here.”

Bitcoin price development. Source: Scott Melker TradingView.com.
In the foreseeable future, unless the bond yield curve improves, the threat to the short-term trend in Bitcoin’s price is likely to persist.

Is Bitcoin price bearish?
One of FTX’s leading traders, High Stakes Capital, said it still lasted a long time. While the outlook for Bitcoin remains bleak, he said that storage on Coinbase Pro continues.

Coinbase Pro’s Churn has continued to grow over the past week. This trend indicates continued institutional accumulation of bitcoin in the United States. The merchant said:

“I saw on the forum that people think I am trending down compared to my previous tweets, while I was just thinking about possible future scenarios. There is general risk, and if the stock is right, BTC may follow, saying that coinbase pro is still accumulating at that level. I am a full smooth and long lion. ”
Despite the weak market structure, various basic factors and indicators in the network indicate that BTC / USD is on an upward path, as Bitcoin has risen almost 100% since the beginning of the year, in contrast to equities that canceled the gain in 2021.

Source: CoinTelegraph

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