How does the 2 year treasury note yield affect the price of digital currencies?

1 answers

• F17Oct 24, 2023 · 2 years ago
  The 2 year treasury note yield plays a crucial role in determining the price of digital currencies. When the yield rises, it suggests a tightening monetary policy and higher interest rates. This can divert investor attention and capital away from digital currencies, leading to a decrease in demand and a potential drop in price. Conversely, when the yield falls, it indicates an easing monetary policy and lower interest rates, which can make digital currencies more appealing as an investment option. This increased demand can drive up the price of digital currencies. Therefore, keeping an eye on the 2 year treasury note yield is essential for understanding the dynamics of the digital currency market.
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