TLDR
- Bitcoin dropped 1.7% to $83,061 on Monday, ending two straight weeks of gains.
- The 10-year U.S. Treasury yield jumped past 5%, its highest level since 2007.
- President Trump did not rule out more military strikes on Iran before the midterm elections.
- Iran proposed a seven-day pause and reopening of the Strait of Hormuz, but Trump rejected the offer.
- Other cryptocurrencies including Ether, XRP, Solana and Cardano also fell alongside Bitcoin.
Bitcoin fell on Monday, dropping 1.7% to $83,061 by 6:30 GMT. The decline followed two straight weeks of gains for the world’s largest cryptocurrency.
The drop came as Treasury yields surged and tensions between the U.S. and Iran showed no signs of easing. Both factors reduced investor appetite for riskier assets like crypto.
Yields Hit Highest Level Since 2007
Government bond yields rose across the globe on Monday. Markets are betting that central banks will keep raising interest rates to fight inflation.
🚨BREAKING: Bond yields hit MULTI-YEAR highs across the world this week, with Japan's 10-year yield reaching its highest level since 1996.
Japan's yield hit 3.08% despite the Bank of Japan raising rates to 1.25% this month.
Japanese and US yields eased slightly on Friday, but… pic.twitter.com/fsqVwqHBqd
— Coin Bureau (@coinbureau) September 27, 2026
The 10-year U.S. Treasury yield rose past 5%, a level last seen in 2007. Yields in Japan also climbed past 30-year highs.
The Federal Reserve and the Bank of Japan both raised rates in September. Both central banks signaled more rate hikes could follow due to concerns over inflation that isn’t going away.
Higher interest rates tend to hurt assets like Bitcoin. They reduce the amount of money flowing through markets and make government debt look like a safer bet.
Rising energy costs have been a main driver of inflation this year. Much of that increase is tied to the ongoing conflict between the U.S. and Iran.
Trump Won’t Rule Out More Strikes On Iran
President Trump said Sunday he expects the war with Iran to end soon. But he did not rule out more military action before the November midterm elections.
“I don’t want to say that. I mean, it’s possible, but I just don’t want to say that,” Trump said when asked about renewed strikes, according to Fox News.
Trump said the U.S. will keep pressuring Iran through both military and economic means. Iran’s Foreign Minister Abbas Araghchi said his country is ready for another conflict, even one he called a possible “doomsday war.”
At the United Nations General Assembly, Iran offered a deal. The proposal called for a seven-day reopening of the Strait of Hormuz, a key oil route, along with a pause in fighting and further talks.
Trump turned down the offer. He said Iran was only proposing a deal because it is under heavy pressure, and added on Truth Social that Iran cannot be allowed to have a nuclear weapon.
The continued fighting has kept oil prices elevated. Oil linked to WTI crude rose nearly 1% to $93.28 a barrel on Monday.
Other Cryptocurrencies Also Decline
The drop in Bitcoin spread across the wider crypto market on Monday. Traders appeared to take profits after two weeks of price gains.
Ether, the second largest cryptocurrency, fell 2% to $2,652.25. XRP dropped 2.7%, Solana fell 2.1%, and Cardano lost 3.5%.
BNB slipped 1.3%. Among memecoins, Dogecoin dropped 3.8% and the Trump-branded token fell 4.4%.
Despite Monday’s losses, Bitcoin has performed well over the past few months. Prices are up 42% over the last three months, outperforming other major assets including the Nasdaq and gold.
One exchange CEO said the $83,800 to $84,000 range is an important support level to watch. He noted that the $85,000 to $85,800 area could act as resistance if prices rise again.
Traders are now watching for new economic data this week, including U.S. inflation figures, manufacturing data, and jobs numbers. These reports could shape expectations for future Fed rate decisions.
