Investing.com — Bitcoin steadied around $84,000 heading into the weekend, with rising U.S. Treasury yields pressuring the cryptocurrency even as institutional demand and regulatory developments offered support.
Bitcoin was trading at $83,981.2 as of 00:55 ET (04:55 GMT), down about 0.27% for the day. The cryptocurrency had briefly approached $85,000 Friday after dropping below $83,000 earlier in the week.
The main pressure came from the bond market. The 10-year U.S. Treasury yield climbed above 5.2% Friday after reaching its highest level since 2007, raising the relative appeal of interest-bearing assets and weighing on Bitcoin and other risk assets.
Institutional flows provided a counterweight. U.S. spot Bitcoin exchange-traded funds attracted about $2.65 billion across five consecutive sessions through Wednesday, including roughly $347 million on Wednesday. BlackRock’s IBIT and Fidelity’s FBTC accounted for most of that day’s inflows.
Strategy (NASDAQ:MSTR), the largest corporate Bitcoin holder, is also seeking to expand its Bitcoin-linked financing model. The company proposed daily dividend accruals for four preferred stocks, arguing that more frequent payments could improve liquidity and demand for the securities. Stronger preferred-share demand could give Strategy greater access to capital for additional Bitcoin purchases.
Regulatory developments presented a mixed picture. SEC Commissioner Hester Peirce, a longstanding supporter of clearer cryptocurrency rules, will leave the agency Oct. 2 after helping lead its Crypto Task Force and recent work covering staking, token classification and tokenized securities.
Her departure follows another setback in Washington after the Senate failed to advance the Digital Asset Market Clarity Act. Blockchain Association CEO Summer Mersinger is also stepping down, with former leader Kristin Smith returning as interim CEO.
Outside the U.S., Germany’s proposed cryptocurrency tax reforms raised fresh concerns. A planned substitute assessment could calculate taxes using 50% of crypto sale proceeds when investors cannot provide credible acquisition-cost records, drawing criticism from Circle executive Patrick Hansen.