Spain's Ibex Falls as Bonds Hit Highs: Bitcoin Under Debt Pressure
- Spain's 10-year bond rose to 4.12%, while its U.S. counterpart climbed to 5.32%.
- High rates make credit more expensive and reduce liquidity for digital and stock assets.
European stock markets interrupted their bullish streak amid rising tensions in the fixed income market and the energy sector.
The Spanish index Ibex 35 closed yesterday's session down 1.68%, settling at 19,118 points, primarily dragged down by the collapse of banking entities such as CaixaBank, BBVA, Unicaja, and Bankinter, as well as the steelmaker ArcelorMittal.
As seen in the following chart, the decline of this index is not a one-day event, but has been ongoing since August, raising concerns about the magnitude this correction could take:
Ibex 35 index over the last 5 years. Source: TradingView.
This setback occurs during a session where sovereign bond yields surged globally, creating a domino effect that pressures both stock markets and the price of bitcoin (BTC) and cryptocurrencies.
The interest on the Spanish 10-year bond rose four basis points to reach 4.12%, its highest level since 2013.
A similar trend is observed in major economic powers: the U.S. 10-year bond climbed to 5.32%, marking a record not seen since 2002, while France's public debt rose to 4.86%.
This pressure on fixed income coincides with a 1% increase in Brent crude oil prices, which surpassed $105 per barrel following Houthi attacks on Saudi Arabia and due to sustained disruptions in the Strait of Hormuz from the conflict between the United States and Iran, which, as reported by CriptoNoticias, has persisted since February 2026.
The macroeconomic outlook reflects a scenario of indebtedness that approaches historically unsustainable levels. Kristalina Georgieva, president of the International Monetary Fund (IMF), warned that global public debt is on track to exceed 100% of Gross Domestic Product (GDP).
Advanced economies lead this burden and face fiscal deficits amid a persistent increase in the cost of servicing their liabilities.
As Georgieva explained, the massive issuance of private bonds to finance artificial intelligence infrastructure directly competes for available savings, further pushing up the yields of sovereign debt.
The sustained increase in these supposedly risk-free rates has a direct impact on the price of bitcoin and the liquidity of digital assets.
By offering higher guaranteed returns, U.S. Treasury bonds divert capital from institutional investors away from markets considered to be of higher volatility.
This tightening of financial conditions has already left its mark on bitcoin, causing it to retreat to the $82,700 range after surpassing $87,000 weeks ago, still below its all-time high of $126,000 reached in October 2025.
Bitcoin price chart over the last 12 months. Source: CoinGecko.
The capital flight towards fixed income is reinforced by expectations of new restrictive measures from the U.S. Federal Reserve (FED).
The minutes from the latest Federal Open Market Committee reveal that the entity does not rule out a new rate hike before the end of the year, as the rising cost of energy and potential tariffs represent upside risks for inflation.
In the future, this scenario of high rates and record indebtedness generates deep concerns about the stability of financial and corporate markets.
Analyst Henrik Zeberg warns that current conditions --- a tech stock bubble financed with debt, a weakened real economy, and a central bank raising rates --- dangerously replicate the climate before the 1929 crisis.
If this environment triggers an abrupt correction in stock valuations, the impact could also be severe for bitcoin, cryptocurrencies, and digital asset treasury companies such as Strategy and Bitmine, causing a "domino effect" whose magnitude is difficult to predict.
-- Price
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