Analyst Shang Wu predicts a Bitcoin "supercycle" driven by rising government bond yields, arguing central banks face a choice between currency debasement or debt collapse. He suggests Bitcoin's inflation-resistant nature will attract investors.
Surging long-dated U.S. Treasury yields, driven by geopolitical conflict and oil price shocks, are forcing investors to reconsider bonds as a safe haven. Experts advise focusing on intermediate maturities and investment-grade corporate bonds.
Bitcoin dropped below $79,000, mirroring US small-cap stocks and indicating macro risks. Despite short-term anxiety, potential fixed-income outflows could boost Bitcoin medium-term.
The surge in UK 10-year gilt yields from 4.2% to 5% since March is largely attributed to the Iran war and higher oil/gas prices, rather than the Labour leadership crisis, despite political uncertainty.
