Bitcoin is struggling to rebound from the $77,000 mark amid concerns over the prolonged conflict in the Middle East and rising U.S. government bond rates.
According to CoinMarketCap, as of 8 a.m. on May 19, Bitcoin was trading at $77,702, down 1.18% from the previous day. On the prior day, it had dipped to $76,009, marking its lowest point in nearly two weeks.
Major altcoins also experienced declines. At the same time, Ripple (XRP) fell 1.40% to $1.39. Ethereum dropped 2.03% to $2,134.09, while Solana (SOL) decreased by 0.90% to $85.39.
Market analysts attribute the decline in risk asset investment sentiment to geopolitical risks in the Middle East and a surge in U.S. government bond rates. President Donald Trump announced on his social media platform, Truth Social, that he had instructed a pause on military operations against Iran, indicating that while immediate attacks are on hold, tensions between the U.S. and Iran remain high with the possibility of future military conflict.
Additionally, the yield on 30-year U.S. government bonds has surpassed 5% for the first time in 19 years, contributing to macroeconomic uncertainty. Typically, rising U.S. bond rates strengthen the preference for safe-haven assets, negatively impacting risk assets like Bitcoin.
Meanwhile, on the domestic exchange Bithumb, Bitcoin was trading at approximately 1.145 million won ($76,747), reflecting a 0.80% increase from the previous day. The so-called 'Kimchi Premium' showed a negative value of -0.207%, indicating that domestic prices were lower than international rates.
* This article has been translated by AI.
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