Bitcoin briefly flirted with the $100,000 milestone over the holidays, climbing to $99,800 before retreating to $95,300 on Thursday. According to CoinDesk, the 3.1% drop reflects broader market losses, with Ethereum (ETH-USD), Solana (SOL-USD), and other major cryptocurrencies seeing declines of 4%-7%.
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Long-Term Interest Rates Are Rising
The drop comes amid rising long-term interest rates, which have surged nearly 100 basis points since the Federal Reserve slashed short-term rates by 50 basis points in September. Macro researcher Jim Bianco, speaking to CoinDesk, called the rapid yield increases “nearly unprecedented” and warned that bond markets could continue to pressure the Fed.
Bitcoin Maintains Long-Term Strength
Despite this recent pullback, let’s not forget that Bitcoin has doubled in value this year, and this really shows how resilient it is, even in a tough macro environment. While the holiday dip might unsettle short-term traders, the bigger story lies in Bitcoin’s ability to weather shifting interest rates and remain a strong contender for long-term investment strategies.
At the time of writing, Bitcoin is sitting at $95,795.12.
