• Press Releases
    • Submit a press release
    • Read All
  • Advertise
  • Contact us
Sensei Inu Logo Sensei Inu Logo
Bitcoinist.com
No Result
View All Result
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • Gambling
      • Bitcoin Casinos
      • Real Money Slots
      • Online Casino Real Money
      • Casino utan svensk licens
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
  • Industry
    • Industry News
    • Press Releases
  • Price
    • Bitcoin Price
    • Ethereum Price
    • Litecoin Price
    • Binance Coin Price
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
    • Bitcoin Casinos – Where, What and How to Play
  • Events
  • Play Games
  • Play Casino Games
  • Play Finance
  • Best crypto casino
Breaking News: Breaking: Bitcoin Repayment Plan Gets New Deadline From Mt. Gox Trustee
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • Gambling
      • Bitcoin Casinos
      • Real Money Slots
      • Online Casino Real Money
      • Casino utan svensk licens
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
  • Industry
    • Industry News
    • Press Releases
  • Price
    • Bitcoin Price
    • Ethereum Price
    • Litecoin Price
    • Binance Coin Price
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
    • Bitcoin Casinos – Where, What and How to Play
  • Events
  • Play Games
  • Play Casino Games
  • Play Finance
  • Best crypto casino
Bitcoinist.com
No Result
View All Result
Breaking News: Breaking: Bitcoin Repayment Plan Gets New Deadline From Mt. Gox Trustee
Bitcoin, cryptocurrency, BTCUSD, BTCUSDT

Fed’s Brainard Speech Offsets Bitcoin Crash Fears against Rising Yields

Yashu Gola by Yashu Gola
3 years ago
in Bitcoin
0

Bitcoin held onto its key technical support area despite a concerning sell-off on Tuesday, raising hopes that it might survive the bearish assault that brought its prices down by 21.32 percent last week.

The benchmark cryptocurrency reported early gains on Wednesday, surging by up to 2.72 percent to $49,470 after bouncing off its 20-day exponential moving average support. Its move upside accompanied little volumes, alerting bulls to wait for a confirmation before extending their upside bias.

Bitcoin Holds Firm

Tuesday was all about profit-taking. Bitcoin’s wild upside move of 9.74 percent at the start of this weekly session prompted traders to minimize their risks. Concerns that the Federal Reserve would raise its benchmark lending rates in the wake of rising Treasury yields drove investors to the safety of cash. US stocks also reacted negatively to investors’ anxiety.

Bitcoin, cryptocurrency, BTCUSD, BTCUSDT
Bitcoin maintains its weekly bullish setup as yields rise calm. Source: BTCUSD on TradingView.com

The 10-year US Treasury yield surged to 1.6 percent last week, its best level in a year, raising doubts among investors about higher inflation and borrowing costs. Meanwhile, the US real yields, which are adjusted per inflation expectations, also surged as investors expect President Joe Biden’s $1.9tn coronavirus stimulus package would fuel powerful US price growth.

Bitcoin does not provide steams of interest payments. Therefore, it tends to perform poorly against rising yields—the same as gold does. Nonetheless, with the yields rally showing hints of calming down, the cryptocurrency is gaining back its upside bias.

Fed’s Intervention

The rise in the Bitcoin prices on Wednesday also took cues from Lael Brainard, one of the Federal Reserve’s Washington-based governors, who offered the first major hint about the central bank’s potential intervention in the ongoing bond market sell-off.

Ms. Brainard cautioned market participants that the Fed is far from the place where it can start dialing back its expansionary policies, further noting that she would be concerned if she sees any “disorderly conditions or persistent tightening and financial conditions” that could hamper the Fed’s goals.

“The economy remains far from our goals in terms of both employment and inflation, and it will take some time to achieve substantial further progress” Ms. Brainard clarified. “We will need to be patient to achieve the outcomes set out in our guidance.”

She noted that the Fed would continue its bond-buying program amid a near-zero rates environment. And more so, any rate hikes—should they come—would be gradual to ensure minimum volatility across the bonds and stock market.

The US 10-year Treasury yield fell to 1.393 overnight Tuesday after Ms. Brainard’s comments. US stock futures rose, indicating an upbeat start when the market opens on Wednesday.

“They’ll likely respond through treasury purchases at the 10, 20, or 30-year bond since those rates can hurt corporations the most,” said Ben Lilly, the author of the crypto-focused ChainPulse newsletter. “And in the mid to long-term, this is great for bitcoin… At the expense of some short-term pain.”

ShareTweetShareShare

Sign Up for Our Newsletter!

For updates and exclusive offers enter your email.

I consent to my submitted data being collected and stored.

Yashu Gola

Yashu Gola

Globetrotter Yashu Gola has been working as a financial/crypto market journalist since 2013. He is an information technology graduate, a cryptography junkie, a filmmaking enthusiast, and an avid reader of Jon Erickson, Agatha Christie, JK Rowling, and Isaac Asimov.

Related Posts

Bitcoin

Six And Counting: The Global Bitcoin Billionaire Phenomenon Unveiled

13 hours ago
Bitcoin price Fed

How Has The Fed’s Decision Impacted The Bitcoin Price? Crypto CEO Weighs In

19 hours ago
Bitcoin

Bitcoin Next Moonshot? Santiment’s Intriguing Insights For Crypto Enthusiasts

1 day ago
Bitcoin shorters

Bullish Signal: Bitcoin Could Reach $30,000 As BTC Continues To Defy Shorters

2 days ago
Bitcoin

Bitcoin Dominance Returns Above 50% As Altcoins Encounter Resistance

4 days ago
Bitcoin

Get Ready For Bitcoin’s Next Surge: Analyst Believes ‘This Is The Beginning’

5 days ago
Please login to join discussion

Premium Partners

Premium Casino Partners

Play Finance

Top Casinos

Trust Dice
Trust Dice
Punt Casino
Punt Casino
mBit
mBit

Press Releases

  • Analysts Predict Polkadot (DOT) to Stabilize, While QUBE is...

    2 hours ago
  • Seize the Opportunity:Domini.art Could Offer 50X Returns...

    3 hours ago
  • 3 Tokens Under $1 to Buy Now – September 2023 Rising...

    5 hours ago
  • Was Solana’s FTX Fear A ‘Buy The Fear’...

    5 hours ago
  • 3 Undervalued Gems in September 2023: $DOMI, $ARB, $LINK

    8 hours ago

Bitcoin news portal providing breaking news, guides, price analysis about decentralized digital money & blockchain technology.

Bitcoin

  • News
  • Price
  • Businesses
  • Acceptance
  • Technology
  • Investment
  • Regulation
  • Reviews

Altcoins

  • News
  • Price
  • Ethereum
  • Ripple
  • Litecoin
  • EOS
  • NAGA

Categories

  • Blockchain
  • Security
  • FinTech
  • Technology
  • Trending
  • Breaking News
  • Press Releases
  • How to

Pages

  • Contact us
  • Editorial Policy
  • Advertise
© 2023 Bitcoinist.com. All Rights Reserved.
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • Gambling
      • Bitcoin Casinos
      • Real Money Slots
      • Online Casino Real Money
      • Casino utan svensk licens
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
  • Industry
    • Industry News
    • Press Releases
  • Price
    • Bitcoin Price
    • Ethereum Price
    • Litecoin Price
    • Binance Coin Price
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
    • Bitcoin Casinos – Where, What and How to Play
  • Events
  • Play Games
  • Play Casino Games
  • Play Finance
  • Best crypto casino

© 2023 Bitcoinist. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.