The cryptocurrency market faced another day of downward pressure as concerns continue to spread in traditional markets following the recent rise in 10-year US Treasury bond yields.

Data from Cointelegraph Markets and TradingView show that the price of Bitcoin (BTC) fell to a low of $44,710 at the end of February 25, before buying back to key support levels to help digital assets return above $46,500, but overall analysts expect $50,000 to become solid support before expecting the uptrend to continue.

BTC/USDT 4-hour card. Source : TradingView

According to Damien Vanderwilt, co-chairman of Galaxy Digital, despite significant purchases of BTC by MicroStrategy, Tesla and MassMutual, most institutional investors still have security and tax concerns that prevent them from investing in Bitcoin.

Institutional investment was a major source of optimism in the cryptocurrency sector in 2021, but its influence in helping BTC reach a market capitalization of $1 trillion may be overstated, as recent analysis shows that the greatest purchasing power is still held by Stemcoins and retailers.

Rising interest rates put pressure on AGB

The 25th. In February, 10-year U.S. Treasury bond yields rose to 1.52%, the highest level in more than a year.

According to Chad Steinglass, head of trading at CrossTower, this decision has put pressure on the general market which pushed the GBTC premium to minus 6%, and it closed at minus 2% today. The analyst sees interest rate volatility as the main source of market volatility when the long end of the curve flips as the US dollar is pushed down.

Daily indicators for the cryptocurrency market. Source: room360

The cryptocurrency came under increased pressure as equity markets deteriorated throughout the day, possibly due to tighter liquidity as traders dealt with margin calls and freed up liquidity.

Steinglass said:

I interpret the collapse in the GBTC premium as a sign that either retailers are getting rid of their free cash or large fund holders like ARKW are seeing their business decline, prompting them to sell GBTC along with everything else.

Traditional markets are still volatile

The yield on 10-year Treasuries fell 3.82% from its peak on the 26th. of February from 1.46 basis points to 0.0582. This led to a hectic day in the markets, with the major indices closing with mixed results.

The NASDAQ closed the day up 0.56%, recovering somewhat from its losses after closing higher on the 25th. The month of February was down 3.5%. Meanwhile, the S&P 500 and DOW ended the day in the red, down 0.48% and 1.51% respectively.

Most major cryptocurrents also suffered heavy losses on Friday, with the exception of Cardano (ADA), which became the third-largest cryptocurrency by market capitalization after its price hit a new record high of $1.29. The current craze for the judge seems to be related to Mariah’s upcoming launch in Maine, scheduled for the 1st. The month of March is planned.

4-hour ADA/USDT card. Source : TradingView

The Basic Attention Token (BAT) also caused the market to fall with a gain of 6.43% after the announcement of the upcoming launch of the Brave Decentralized Exchange (DEX) on the 23rd. February.

The price of ether (ETH) fell 7.19% to below $1,500, while the Binance token (BNB) fell 8.36% to $224.14.

The total market capitalization of cryptocurrents is currently $1,533 billion, with Bitcoin dominating at 61.3%.

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