BTC maintains stability while ONDO surges amid Treasury yields reaching 2007 peaks
On Thursday, US Treasury yields reached their highest point in 19 years, creating pressure on risk-sensitive assets while Bitcoin stabilized around $84,000 and ONDO emerged as the leading altcoin performer.
During Thursday's US trading session, Bitcoin (BTC) experienced significant volatility as the 10-year US Treasury note yield surged to levels not seen in almost twenty years. Following a momentary dip under the $83,000 mark, BTC found it challenging to push back above $84,500. During this period, Ondo Finance (ONDO) emerged as one of the strongest-performing alternative cryptocurrencies.
Key points:
- After momentarily dropping under $83,000, Bitcoin found stability around the $84,500 level as bond yields continued their upward trajectory.
- ONDO's digital asset breaks back above the $0.50 threshold for the first time since December 2025 following the launch of BlackRock-supported Ondo Intelligent Portfolios on both Ethereum and BNB Chain networks.
- The 10-year US Treasury yield surges to 5.18%, marking its peak level since July 2007, with the 30-year yield touching 5.46%.
10-year US Treasury surges 70 basis points throughout the month, reaching 5.18%
On Thursday, the yield on the 10-year US Treasury note increased by over 4 basis points, climbing to 5.18%, marking its highest point since July 2007, based on data from TradingView. Meanwhile, the 30-year yield reached 5.46%, recovering to levels last seen in 2004.
This upward movement occurred on the same day the US Treasury had planned to repurchase as much as $6 billion worth of bonds with maturity dates ranging from approximately 20 to 30 years, representing part of a broader initiative designed to enhance liquidity within long-dated debt markets.
Bond markets across international territories also experienced weakness, as the Japanese yen (JPY) faced fresh downward pressure. Mohamed A. El-Erian, who serves as president of Queen's College Cambridge, posted on X:
"Flying under many radars for now, but probably not for long: The Japanese Yen has weakened back to 159 per U.S. dollar (CNBC chart), approaching the established FX intervention zone."
His message went on to state:
"This matters far beyond Japan for a key reason right now: Japanese foreign exchange intervention typically involves selling US securities to buy Yen, potentially adding yield pressures to an already sensitive Treasury market."
Rising yields enhance the appeal of government bonds and can create headwinds for assets that don't generate yields, including Bitcoin. Nevertheless, BTC has continued its August upward momentum, defying pessimistic forecasts connected to Bitcoin's conventional four-year market cycle.
ONDO digital asset leads performance charts, breaks above $0.50 threshold
The real-world asset (RWA) tokenization project's native token ONDO ranked among the strongest performers over the past 24 hours, climbing back to the psychologically significant $0.5 price point, based on information from CoinGecko data.
Even with the recent unsuccessful attempt to advance the CLARITY Act past a procedural vote in the US Senate, the digital asset succeeded in recovering a price level that was last seen during December 2025.
This price surge coincided with the Thursday launch of BlackRock-backed Ondo Intelligent Portfolios. Unlike the majority of RWA products that concentrate on tokenizing specific stocks and commodities, this innovative product enables users outside the United States to purchase tokenized stakes in diversified investment portfolios.
These digital tokens became available on both the Ethereum and BNB Chain platforms, with CoW Protocol managing the settlement process, as announced by CoW DAO on X. The initial three token offerings track model portfolio strategies created by BlackRock specifically for Ondo: BLKHIon (High Income), BLKDIGon (Diversified Growth) and BLKGRWon (High Growth).