Tokenized Treasuries hit $15 billion as bitcoin stalls, Fed rate-rise concerns build: Crypto Daily

The total value locked in tokenized Treasuries has surged to $15.35 billion, surpassing its previous peak, as Bitcoin's price stalls above $80,000. This growth occurs while markets are increasingly anticipating a potential Federal Reserve interest rate hike, a significant shift from earlier expectations of rate cuts. Analysts suggest that capital is flowing into yield-bearing tokenized Treasuries, such as those from BlackRock's BUIDL and tokenized T-bills, potentially at the expense of other cryptocurrencies. Further increases in tokenized Treasury flows are possible if upcoming U.S. producer price index data indicates persistent inflation. Elevated inflation readings could exacerbate rate-hike expectations, posing a challenge for risk assets like Bitcoin, which has shown resilience but may struggle to trend higher if real inflation rates continue to rise. Additionally, potential headwinds for Bitcoin include large miners actively managing balance sheets, which could lead to increased spot supply. In the broader crypto market, smaller altcoins have seen gains, while major cryptocurrencies like Ether and Solana remain volatile. Bitcoin's price action is at an inflection point, with its recovery stalling near the 200-day simple moving average, and its ability to break above this level will be crucial in determining its future trend amidst intensifying macro uncertainties.

(Source：CoinDesk)