Apparently, the market is currently in panic mode. All these talks about interest rate hikes are seriously pressuring investors, and Bitcoin is catching the wave of fear.

What's happening? When rates rise, bonds become less attractive, and their decline begins. This is a classic macroeconomic situation. But here’s the paradox — Bitcoin is also falling along with bonds, even though theoretically it should be an alternative to traditional assets.

A bond market crash usually signals economic uncertainty. Investors get scared, start selling risky assets, and crypto takes the first hit. This creates a vicious cycle — rising rates lead to bond crashes, which in turn cause crypto declines.

But interestingly, amid this fear, some still see Bitcoin as a hedge. Maybe it’s just a matter of time before the market rethinks the role of crypto in a portfolio. For now, fears dominate, and the decline continues. We just need to ride out this wave of panic and see what happens next.