Bitcoin Surpasses US Treasury Yields and Gains Political Endorsement as Institutional Adoption Grows
Bitcoin has overtaken the yield of the US 30-year Treasury Bond, enhancing its attractiveness as a macro hedge and a potential reserve asset for institutional investors. This development reinforces Bitcoin’s growing alignment with gold, supporting its narrative as ’digital gold.’ Influential US leaders, including Senator Cynthia Lummis and former Treasurer Rosie Rios, have publicly advocated for the inclusion of Bitcoin in national reserves, with suggestions that the US should hold 5% of global Bitcoin supply, paralleling its gold strategy. Since early May, open interest in Bitcoin has risen, signaling increased institutional demand. The combined effect of higher yields, rising political support, and stronger correlations with traditional safe-haven assets suggests a positive long-term outlook. Crypto traders should monitor ongoing legislative backing and institutional inflows, as these factors could accelerate Bitcoin’s transition from a speculative asset to a recognized store of value and macroeconomic hedge.
Bullish
Bitcoin’s yield now surpasses the US Treasury 30-year bond, strengthening its role as a macro hedge and enticing institutional interest. The rise in open interest suggests growing institutional participation, while political endorsements from notable US figures highlight increasing acceptance at policymaker levels. Bitcoin’s strengthened correlation with gold further cements its status as a digital store of value. Historically, similar factors have supported sustained price appreciation and market optimism. In both the short and long term, these developments point to increased demand and potential upward price momentum. Traders should watch for continued institutional inflows and legislative backing, which could support a bullish trajectory.