Bitcoin slipped Monday after spiking above $63,700 late Sunday, as renewed military conflict between Iran and Israel rattled global markets and sent Asian stocks sharply lower. The largest cryptocurrency changed hands near $62,600, having briefly dipped below $60,000 last week amid mounting headwinds from rising Treasury yields and outflows from spot bitcoin exchange-traded funds.

Market Context

The two-year U.S. Treasury yield climbed to 4.19% on Monday, its highest level since February 2025, according to TradingView data, extending a sharp rise that accelerated after Friday's stronger-than-expected U.S. jobs report. The yield is up roughly 80 basis points since the onset of the Iran war in late February, including a gain of more than 10 basis points last week alone. Oil prices jumped more than 3% and Asian equity indexes tumbled, even as President Trump urged Israel not to retaliate further against Iran.

Rising yields are typically seen as a headwind for risk assets, including technology stocks and cryptocurrencies. Bitcoin fell nearly 14% last week before recovering, dragged down by the confluence of geopolitical risk, monetary policy uncertainty and continued outflows from spot bitcoin ETFs. The broader crypto market felt pressure Monday, with BTC, ETH, XRP and others pulling back from their overnight highs as the Mideast escalation triggered risk aversion in Asian trading.

Analysis

Two major cryptocurrency treasury companies are charting divergent courses that reflect broader market dynamics. Strategy (MSTR) disclosed on June 1 that it sold 32 bitcoin at an average of $77,135 per coin—its first sale in four years—with proceeds funding the dividend on its STRC perpetual preferred stock. The move signaled a shift toward yield obligations over pure accumulation.

Laser Digital noted in a Monday note to CoinDesk that one firm was selling its reserve asset to service a yield obligation while another was taking on fresh 9.50% debt to buy more of an asset that keeps falling. The firm's options desk characterized the positioning as defensive, with term structure inverted hard and a trader buying end-June $50,000 bitcoin puts while funding part of the position by selling $75,000 calls.

Separately, BitMine (BMNR) priced an upsized 9.50% Series A perpetual preferred offering—3.5 million shares at $80 each—raising approximately $274 million it plans to spend buying more ether. The shares settle June 10, and the company has applied to list them on the NYSE as BMNP.

On-chain trackers flagged that a wallet tied to Arthur Hayes had purchased HYPE back after he publicly claimed last week to have dumped his entire position in the Hyperliquid token. Lookonchain identified 33,978 HYPE worth $2.09 million moved off Bybit, suggestive of buying activity. Hayes responded within hours: "I didn't buy shit." However, the same clustering had tracked his selling near the top, which he never disputed.

Key Numbers

- Bitcoin high Sunday night: over $63,600

- Bitcoin price as of writing: approximately $62,600

- Bitcoin decline last week: nearly 14%

- Two-year Treasury yield Monday: 4.19%, highest since February 2025

- Yield increase since Iran war began late February: roughly 80 basis points

- Strategy bitcoin sale: 32 BTC at average $77,135 on June 1

- BitMine preferred offering raise: approximately $274 million at 3.5 million shares × $80

- HYPE decline from June 2 ATH of $75.51: more than 20% to current levels near $62

What to Watch

Wednesday's U.S. CPI print looms as a critical catalyst for risk assets including bitcoin. A hotter-than-expected inflation number would widen the right tail on interest rates and potentially validate the put buyers who have been positioning defensively with downside protection, according to Laser Digital's read of options flow. The Fed's policy horizon remains uncertain as two-year yields signal growing market bets that the central bank's next move could be a rate hike—a stark reversal from earlier in the year when markets priced at least two cuts. Continued spot bitcoin ETF outflows and elevated volatility are expected amid the inflation data release and major IPO activity on the calendar.