Bitcoin is holding its ground despite a combination of higher oil prices and rising bond yields that is weighing on stocks and gold. The cryptocurrency’s resilience is notable, but a strengthening U.S. dollar could become a bigger obstacle.

WTI crude futures have broken above $90 and are nearly 9% higher for the week, according to TradingView data. A sustained rise in oil prices could intensify inflation and leave the Federal Reserve with less flexibility to lower borrowing costs.

Bond yields are moving higher as markets respond to mounting fiscal concerns across developed economies. The U.S. 10-year Treasury yield has climbed 10 basis points to 4.81%, its highest level since 2023. Higher yields can tighten financial conditions by increasing borrowing costs and reducing demand for riskier investments.

Global stock markets have reflected the growing caution. The S&P 500 dropped for a third consecutive trading session Monday, hitting a four-week low. Asian shares were also under pressure, with expensive energy posing a particular threat to countries that rely on imports to meet their oil needs.

Gold has also retreated sharply, falling from approximately $4,700 an ounce to $4,300 in less than a week.

Bitcoin has fared better. BTC declined roughly 3% Friday, slipping below $77,000, but the subsequent selling has been relatively muted. CoinDesk data shows the asset continuing to move back and forth within the $76,000-$80,000 range.

The market’s ability to absorb negative macroeconomic developments could be interpreted as evidence of bullish sentiment. Higher yields may be reflecting worries about fiscal sustainability rather than expectations for stronger economic growth. If that interpretation holds, investors could increasingly turn toward hard assets such as bitcoin that operate independently of the traditional fiat system.

Even so, the dollar remains a key risk. The U.S. Dollar Index has climbed to 99.67 after rising nearly 1% last week, putting it in position to extend its recent gains.

The DXY is trading near a long-term bullish trendline that originates from its 2011 lows. A successful defense of that support could trigger another leg higher for the dollar.

That scenario could create problems for bitcoin because BTC has historically maintained an inverse correlation with the greenback. A stronger dollar would therefore increase the pressure on cryptocurrency prices.

The technical level itself could play an important role. Major trendlines are closely monitored by traders and often serve as reference points for entering positions, taking profits or placing stop-loss orders. When enough participants react to the same support or resistance area, their trading activity can reinforce the level and potentially accelerate the subsequent price move.