In an Investing.com analysis of Bitcoin and the bond market, Luke Davis discussed why equities and Bitcoin can respond differently to the same rise in yields.
His point was that companies can generate growing profits, which may help offset a higher discount rate. Bitcoin has no comparable stream of corporate earnings, making the pace of new investment and the liquidity environment particularly important to his assessment.
The article combines Luke's comments with other market views on why the reason for a bond sell-off matters, rather than treating the level of yields as a complete explanation.
