This is part of a broader regime shift where strong employment data forces the Fed to keep rates high, while Middle East tensions add supply-side inflation pressures. Crypto markets, already in extreme fear, are vulnerable to a macro-driven capitulation event. However, if the bond market starts pricing in a recession (inverted yield curve deepening), the narrative could flip to 'Fed pivot' expectations, benefiting crypto as a hedge against fiat debasement.

US Treasuries

Treasuries prices fell due to increased expectations of Federal Reserve rate hikes and Middle East tensions.