On July 23, Bitcoin rose to $66,180, but the rebound momentum clearly slowed. Semiconductor stocks have gained 69% since the beginning of 2026, while Bitcoin is down 25% over the same period, showing a structural split in fund flows. The main macro factors suppressing the rebound span three areas: the Federal Reserve’s June meeting minutes directly attributing inflation pressure to AI investments; the 10-year U.S. Treasury yield nearing 4.66%; and ongoing geopolitical risk in the Strait of Hormuz.
Bitcoin ETF inflows: positive growth for six straight days
U.S. spot Bitcoin ETFs recorded a net inflow of $203.2 million on Tuesday, marking the sixth consecutive trading day of positive growth. However, compared with the roughly $6.9 billion net outflows accumulated in May and June, the current round-trip scale remains quite limited, as the slow recovery in the ETF market sets a higher bar for Bitcoin to break above the $60,000–$70,000 range.
Senior analyst Nikita Zuborev at BestChange said: “At the moment, a stronger U.S. dollar and elevated bond yields are pulling liquidity out of risk assets such as crypto.”
AI investment lifts inflation expectations
In the Federal Reserve’s June meeting minutes, officials directly attributed some of the recent inflation pressure to AI investment. They noted that strong demand for data centers, electricity, and high-tech equipment is pushing prices higher. Latest quarterly data from major technology companies supports this view:
Alphabet: Google Cloud revenue grew 82% year over year in the latest quarter; forecasted capital expenditures for 2026 were raised to $195–$205 billion
Microsoft: Expected 2026 capital expenditures of about $190 billion, including about $25 billion added due to higher parts prices
Nvidia: Data center business grew 92% year over year in the latest quarter, reaching $75.2 billion
Federal Reserve Chair Warsh said that as of the first quarter of 2026, investment in high-tech equipment rose nearly 25% year over year, and the Federal Reserve is closely monitoring the impact on inflation and employment.
Competition between U.S. government bond yields and Bitcoin
On Wednesday, the yield on 2-year U.S. Treasuries rose to 4.301%, the highest level in more than a year. The 10-year Treasury yield is near 4.66%, up from 4.63% on Tuesday. The U.S. dollar index held around 101. U.S. June CPI rose 3.5% year over year and PPI rose 5.5% year over year—both above levels that would give the Federal Reserve a clear reason to ease monetary policy.
InvestFuture editor-in-chief Evgeny Popov said that funds that previously might have flowed into crypto are shifting toward AI, chips, data center and energy infrastructure-related companies. “Investors are currently seeing where the capital is going, growth, and clearer future prospects.”
Global stock markets: Wednesday closing data
The major global stock indices closed on Wednesday as follows: In the U.S., S&P 500 -0.14% (7,498.96), Nasdaq -0.57% (25,690.90), Dow Jones -0.01% (52,218.58), Russell 2000 -0.9% (2,959.94). In Canada, Canada S&P/TSX +0.33% (35,485.11), led by gold mining, materials, and energy sectors. In Europe, STOXX Europe 600 +0.58% (646.93), Germany’s DAX +0.58% (25,155.41), France’s CAC 40 +0.95% (8,442.36), and the UK FTSE 100 +1.24% (10,716.97), driven by softer corporate earnings and UK inflation data.
FAQ
How much was Bitcoin on July 23, and how did ETF fund flows look?
Bitcoin rose to $66,180 on July 23. After briefly breaking above $66,000 (the highest since early June), it pulled back to about $65,975. U.S. spot Bitcoin ETFs recorded a net inflow of $203.2 million on Tuesday (July 22), marking the sixth consecutive trading day of positive growth, but net outflows from May to June totaled $6.9 billion, leaving a gap.
What level are U.S. government bond yields at right now, and what effect do they have on Bitcoin?
On Wednesday, the yield on 2-year U.S. Treasuries rose to 4.301% (a more-than-one-year high), while the 10-year yield is near 4.66%. Higher yields make government bonds and cash relatively more attractive, and analysts say this is drawing liquidity away from risk assets such as crypto.
When will the Federal Reserve announce the next interest-rate decision?
The next Fed policy decision is scheduled to be released on July 29, 2026. Before then, market rate expectations will mainly be influenced by Fed officials’ communication, the direction of oil prices, and inflation data. Bitcoin will face both improved ETF fund inflows and high funding-cost pressure brought by the AI investment cycle.
