AI boom keeps Bitcoin's biggest macro headwind alive even after the Fed stops hiking
- —Nominal Treasury yields rose about 35 bps across 2- to 10-year maturities between Fed meetings
- —The Fed hiked 25 bps to 3.75%-4%, with most officials favoring another increase by year-end
- —BIS: the five largest tech firms will spend over $1 trillion on AI capex in 2025-2026
- —The 10-year Treasury par yield was 5.28% on Oct. 7, with the real yield at 2.92%
Why it matters: Elevated real yields raise the required return on risk assets like Bitcoin, keeping financial conditions tight even after the Fed's hiking cycle ends.
Source: CryptoSlate