Bitcoin (BTC) is heading for a losing week as rising bond yields continue to pressure risk assets such as cryptocurrencies.
In early trading on Oct. 9, Bitcoin was trading at $82,900 U.S., down 4% over the past week. Other cryptocurrencies such as Ethereum (ETH) and XRP (XRP) are also in the red.
Digital assets have sunk in recent days as yields on U.S. Treasury bonds have steadily risen, exerting downward pressure on stocks and other riskier assets.
The yield on the benchmark 10-year U.S. Treasury has risen by 0.46 percentage points since Sept. 1, lifting it to 5.25% from 4.79%.
That’s a big move in Treasury yields in a short period of time. At 5.25%, the yield on the 10-year Treasury is now at its highest level in 24 years.
Higher yields offered by government bonds attract investors, leading them to rotate capital out of riskier assets such as Bitcoin.
Rising oil prices in recent days have renewed fears about inflation and further interest rate hikes from the U.S. Federal Reserve, which is also weighing on the price of BTC and other crypto.
So far in October, Bitcoin is down 1.35%, a sharp reversal from the 42% gain achieved in this year’s third quarter when crypto outperformed all other asset classes.
The decline to begin October defies the historically strong month. Typically, October is the best month of the year for Bitcoin, producing an average increase of 18%.
October has often been so strong for crypto assets that investors call the month “Uptober.” BTC hit an all-time high of $126,000 U.S. in October 2025.
However, rising bond yields and crude oil prices appear to be putting a damper on Bitcoin’s returns this October.
