[Bitcoin Now] 1.7% Drop Due to Rising Government Bond Yields... Investor Sentiment 'Neutral'

Image source=Reuters·Yonhap News

As government bond yields rose and the U.S. stock market showed mixed trends, Bitcoin prices declined.

According to CoinMarketCap, a global cryptocurrency market tracking site, as of 1:22 PM on the 3rd, Bitcoin was priced at $27,582 (approximately 37.47 million KRW), down 1.70% from the previous day.

On the 2nd (local time), the Dow Jones Industrial Average closed at 33,433.35, down 74.15 points (0.22%) from the previous session. The S&P 500, focused on large-cap stocks, ended slightly higher by 0.34 points (0.01%) at 4,288.39. The tech-heavy Nasdaq Composite rose 88.45 points (0.67%) to close at 13,307.77.

Government bond yields continued to rise amid expectations of prolonged high interest rates. In the New York bond market, the benchmark 10-year U.S. Treasury yield surpassed 4.7% during the session, marking the highest level since October 2007. With U.S. Treasuries, considered virtually risk-free assets, offering over 4% annual interest, funds appear to be flowing out of the cryptocurrency market.

Cryptocurrency investor sentiment remained neutral. According to data from Alternative, a cryptocurrency data provider, the Fear & Greed Index, which measures investor sentiment, stayed at 50 points (neutral), the same as the previous day. This is a 4-point increase from 46 points (fear) a week ago. The Alternative Fear & Greed Index ranges from 0, indicating extreme fear and pessimism about investing, to 100, indicating strong optimism.