Bitcoin extended its decline on Friday, slipping below the $79,000 mark as rising US bond yields sparked a broad sell-off across risk assets, including equities and cryptocurrencies.

The world’s largest cryptocurrency, Bitcoin (Bitcoin), fell more than 3% in a single trading session, briefly breaking below $80,000 during the US market open before extending losses.

Analysts linked the downturn to turbulence in US bond markets, where rising yields have renewed concerns about tighter financial conditions and reduced liquidity for risk-driven assets.

US 10-year Treasury yields climbed above 4.55%, a level not seen since May 2025, intensifying fears that borrowing costs could remain elevated for longer than expected. Market commentators warned that the move signals growing stress in fixed-income markets, which is spilling over into equities and crypto.

Stocks also reversed earlier gains during the session, with the S&P 500 retreating after hitting recent highs earlier in the week, highlighting a broader shift in investor sentiment.

Market analysts noted that Bitcoin’s recent momentum has weakened after failing to sustain levels above $82,000. Traders are now watching whether the asset will retest support in the mid-$70,000 range, with some suggesting that current price action indicates a potential consolidation phase rather than a clear breakout trend.

According to traders, the market is reacting to a combination of macroeconomic pressures, including expectations of persistently high interest rates, inflation concerns, and tightening financial conditions. Some forecasts now suggest the possibility of further volatility if bond yields remain elevated.

Despite the pullback, analysts remain divided on Bitcoin’s near-term direction, with some expecting range-bound movement between key support and resistance levels until a decisive breakout or breakdown occurs.