30-Year Mortgage Rate Hits 7.45% – Implications for Crypto

The average 30‑year fixed mortgage rate in the United States rose to 7.45% on Thursday, up 19 basis points, according to Mortgage News Daily’s daily broker survey. The increase coincides with a selloff in US Treasury bonds, which influences both mortgage rates and crypto asset pricing.

Drivers Behind the Rate Increase

Mortgage News Daily’s chief operating officer, Matthew Graham, identified three factors contributing to the climb since early September: Federal Reserve commentary, higher oil prices, and stronger economic data. He noted that no single catalyst explained the Thursday bond selloff, describing the market move as broadly driven by sellers.

Link Between Treasury Yields and Mortgage Rates

Mortgage rates tend to track longer‑dated Treasury yields. The 10‑year Treasury yield closed at 5.18% on Thursday, up from 4.96% on Tuesday. The rise follows a period where the 30‑year mortgage rate fell to 5.99% in late February before climbing after the Iran conflict and the Fed’s rate hikes in September.

Impact on Crypto Markets

Higher Treasury yields increase the opportunity cost of holding non‑yield‑bearing assets such as Bitcoin (BTC). On Wednesday, Bitcoin slipped below $84,000 after US business activity data pushed the 10‑year yield above 5%. By Friday, BTC was trading around $84,590, showing a modest 24‑hour gain.

Altcoins responded more sharply: Solana (SOL) rose 2.2% and XRP (XRP) gained 3.4% over the same period, indicating a faster rebound relative to Bitcoin.

Outlook

The key question for crypto investors is whether the market can absorb continued pressure from Treasury yields exceeding 5%.