Bitcoin’s Next Move Depends on the US Bond Market and Inflation Report

Source Beincrypto

Bitcoin’s next major move could depend on the US bond market. Treasury yields surged to their highest level in 24 years, making government bonds more attractive to investors and putting fresh pressure on cryptocurrencies.

According to Bitunix’s October market analysis, the benchmark 10-year US Treasury yield climbed above 5.35%. Bitcoin fell below $82,000, while selling spread across the wider crypto market.

The exchange warns that continued pressure from high bond yields could make a sustained crypto recovery difficult.

Why Rising US Bond Yields Threaten Bitcoin

US Treasury bonds offer investors regular interest payments backed by the government. When their yields rise, investors can earn higher returns without taking the same risks associated with cryptocurrencies.

Bitcoin pays no fixed interest. As a result, higher Treasury yields can encourage investors to move capital into government bonds or hold cash.

Bitunix argues that this shift in investor preferences is creating additional pressure on Bitcoin and other speculative assets.

The risk extends beyond crypto. Higher yields also increase borrowing costs and can reduce the appeal of technology stocks. Bitunix reported weekly declines in crypto-linked equities, including Strategy and Circle.

However, the direction of bond yields remains critical. A sustained decline could improve investor appetite for risk and help Bitcoin recover.

Crypto Market Weakness Goes Beyond Bitcoin

The broader crypto market suffered even heavier losses during October 3–9.

Bitcoin declined 3.80%, while Ethereum lost 8.39% and XRP fell 7.09%.

More importantly, only around 20% of the top 300 cryptocurrencies tracked by Bitunix recorded gains. Their median weekly return was -5.18%.

Decentralized finance tokens also struggled. Uniswap’s UNI declined 18.37%, while PancakeSwap’s CAKE lost 15.92%.

Yet speculative trading continues.

The Sandbox’s SAND rallied 57.71%, even as Bitunix found little evidence of improving project fundamentals. The exchange attributed the move primarily to trading sentiment and capital flows, although it could not establish the precise drivers.

Meanwhile, commodities followed a different path. Gold returned to $4,200, while Brent crude climbed above $100 per barrel.

SAND Token Price Rallied Over 80% in a Month. Source: CoinGecko

October 14 Inflation Report Could Decide Bitcoin’s Direction

The next major test comes on October 14, when the US releases September’s Consumer Price Index (CPI).

Bitunix cites an expected annual inflation rate of 3.6%, up from the previous 3.4%.

Higher-than-expected inflation could strengthen expectations that the Federal Reserve will keep interest rates elevated. Treasury yields could rise further, creating additional selling pressure on Bitcoin and other risk assets.

Conversely, softer inflation could ease pressure on bond yields and support a crypto recovery.

For traders, the key signal will be how Treasury yields react to the CPI data.

Bitunix’s central warning is that Bitcoin could remain vulnerable to further losses while US government bonds continue offering unusually attractive returns.

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Gold Price Forecast: Gold Returns to $4,200 Ahead of US September CPI, Can the Rally Continue?As of the Asian session on October 12, gold prices (XAUUSD) consolidated at high levels following a sharp rebound last week. As of press time, gold prices were down slightly by 0.2%, trad
Author  TradingKey
12 hours ago
As of the Asian session on October 12, gold prices (XAUUSD) consolidated at high levels following a sharp rebound last week. As of press time, gold prices were down slightly by 0.2%, trad
placeholder
Bank earnings kick off tomorrow with the S&P 500 seven points from a record — what JPMorgan, Goldman, Citi and Wells Fargo must proveQ3 earnings season starts Tuesday with JPMorgan, Goldman Sachs, Citigroup and Wells Fargo reporting before the open — with the S&P 500 just 7 points from its record close, bank stocks down 7.5% over the past month, and September CPI landing the next day. Here are the numbers to watch, the two-sided setup and the levels that matter.
Author  Irene Q.
17 hours ago
Q3 earnings season starts Tuesday with JPMorgan, Goldman Sachs, Citigroup and Wells Fargo reporting before the open — with the S&P 500 just 7 points from its record close, bank stocks down 7.5% over the past month, and September CPI landing the next day. Here are the numbers to watch, the two-sided setup and the levels that matter.
placeholder
Brent swings $105.63 to $102.33 as Gulf risk meets an 'energy ceasefire' — can $100 hold into CPI?Brent spiked to $105.63 in Asian trade on fresh Middle East supply incidents, then reversed to $102.33 after the US announced a Russia-Ukraine 'energy ceasefire' and 300,000+ tonnes of Russian diesel headed to global markets; WTI fell through $90. Here are the drivers, the levels and the scenarios into Wednesday's US CPI.
Author  Irene Q.
17 hours ago
Brent spiked to $105.63 in Asian trade on fresh Middle East supply incidents, then reversed to $102.33 after the US announced a Russia-Ukraine 'energy ceasefire' and 300,000+ tonnes of Russian diesel headed to global markets; WTI fell through $90. Here are the drivers, the levels and the scenarios into Wednesday's US CPI.
placeholder
WTI declines to near $90.00 despite escalating Middle East conflict, supply risksWest Texas Intermediate (WTI) declines after two days of gains, trading around $90.00 per barrel during Asian hours on Monday.
Author  FXStreet
21 hours ago
West Texas Intermediate (WTI) declines after two days of gains, trading around $90.00 per barrel during Asian hours on Monday.
placeholder
Gold posts first weekly gain in three weeks — can $4,200 hold through CPI?Spot gold closed at $4,194.645, up 1.47% — its first weekly gain in three weeks — and COMEX futures settled back above $4,200 at $4,220.30. Here are the drivers, the levels and the scenarios into Wednesday's CPI.
Author  Irene Q.
Oct 10, Sat
Spot gold closed at $4,194.645, up 1.47% — its first weekly gain in three weeks — and COMEX futures settled back above $4,200 at $4,220.30. Here are the drivers, the levels and the scenarios into Wednesday's CPI.
goTop
quote