Bitcoin ends U.S. trading day in green as 10-year yield surges

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Bitcoin ends U.S. trading day in green as 10-year yield surges

Bitcoin ended the first U.S. trading day of the week in green, but it gave up some gains as the U.S. 10-year yield surged to its highest level in more than 16 years. In the last 24 hours, the world's biggest digital asset dipped into the red and is down by 1.57%. The much-hyped ether futures ETF failed to attract the interest of investors, with low volumes reported on their first day of trading.

Bitcoin is set to end the U.S. trading day just below $28,000, up around 3%, according to CoinDesk Indices data. At about $1670, ether is down modestly for the session. Over the past 24 hours, the CoinDesk Market Index has surged by 1.6%.

Stocks were mixed Monday on the equities market after U.S. lawmakers over the weekend prevented a government shutdown with a stop-gap bill. The U.S. 10-year Treasury yield soaring another 11 basis points to 4.69%, while interest rates were still going up. The yield rose after unexpectedly strong manufacturing data underlined the resilience of the U.S. economy, with ISM figures at 49 versus a forecasted 47.7, suggesting that higher rate hikes could be in the future.

Bitcoin has seen a sizable rally recently, influenced by factors like the SEC's ether futures ETFs approvals and other government decisions, QCP Capital wrote in a recent note, highlighting that bitcoin has gained 15% in the past two weeks. QCP has concerns about the sustainability of the rally, with shifts in demand and historical data suggesting potential market downturns.

It's okay to massively drive price changes. They're not supposed to be all over the room, said Dexterity Capital Managing Partner Michael Safai on a recent appearance on CoinDesk TV.

'' I know the markets like traders do,'' he said. Their optimism is a bit misplaced; anyone who wants bitcoin or ether surely has it.