Cryptocurrency Market Experiences Downturn Amid Rising Treasury Yields

The cryptocurrency market has been experiencing a tumultuous period, with Bitcoin (BTC) falling below $80,000 on May 12-16. The decline was triggered by a combination of factors, including ETF outflows and rising Treasury yields. According to reports, U.S. Spot Bitcoin ETFs saw net outflows of $290 million on May 15, while Ethereum ETFs lost $65.66 million in five straight days of outflows.

The increase in Treasury yields has raised the cost of holding non-yielding assets, making them less attractive to investors. This development has had a ripple effect across the market, with altcoins experiencing significant drops in value. Solana (SOL) fell by nearly 7.9%, while Hyperliquid (HYPE) dropped by 6.6%. Cardano (ADA), on the other hand, lost over 7% of its value.