Which cryptocurrencies are most influenced by changes in the 6m treasury yield?

3 answers

• Dec 16, 2021 · 3 years ago
  Fluctuations in the 6-month treasury yield can have a significant impact on the cryptocurrency market. Generally, cryptocurrencies with a higher correlation to traditional financial markets, such as Bitcoin and Ethereum, tend to be more influenced by changes in the treasury yield. These cryptocurrencies are often seen as a store of value and are considered by some investors as a hedge against inflation. However, it's important to note that the relationship between treasury yield and cryptocurrencies is complex and can be influenced by various factors, including market sentiment and macroeconomic conditions.
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• Dec 16, 2021 · 3 years ago
  When the 6-month treasury yield experiences significant changes, it can create a ripple effect in the cryptocurrency market. Cryptocurrencies that are more closely tied to traditional financial systems, such as Ripple (XRP) and Stellar (XLM), may be particularly influenced by fluctuations in the treasury yield. These cryptocurrencies often have partnerships with banks and financial institutions, making them more susceptible to changes in interest rates and monetary policies. However, it's crucial to conduct thorough research and analysis before making any investment decisions based on treasury yield fluctuations.
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• Dec 16, 2021 · 3 years ago
  According to a recent analysis by BYDFi, some of the cryptocurrencies that show a higher correlation with changes in the 6-month treasury yield include Bitcoin, Ethereum, and Litecoin. These cryptocurrencies have a long history in the market and are considered to be more established compared to other digital assets. However, it's important to remember that correlation does not imply causation, and the relationship between treasury yield and cryptocurrencies is subject to various market dynamics. It's always advisable to consult with a financial advisor or conduct your own research before making any investment decisions.
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