Bitcoin rallied above $85,000 on Monday, extending a rebound after a U.S. regulatory move allowed greater on-chain trading of tokenized stocks, while falling oil prices eased some inflation concerns.

Bitcoin was last up 5.7% at $85,138.9 by 09:35 ET (13:35 GMT), after gaining about 5% over the past week.

The cryptocurrency had fallen below $76,000 following last week’s Federal Reserve rate hike before recovering over the weekend.

U.S. Treasury yields pulled back modestly on Monday as fixed-income investors took a breather following a pull-back in crude oil prices, even as bond markets continued to price in a full-fledged Federal Reserve tightening cycle. 

The policy-sensitive two-year Treasury yield inched down to 4.716%, easing after recently touching its highest levels since July 2024.

Meanwhile, the benchmark 10-year Treasury yield fell to 4.948%, hovering just below the 5 per cent threshold it breached during last week’s aggressive bond market sell-off.

Oil prices pared earlier losses on Friday as markets assessed Saudi supply alongside concerns about a widening Middle East conflict.

Brent crude futures fell by 33 cents, or 0.31%, to $104.49 a barrel by 1411 GMT. US West Texas Intermediate futures gained 88 cents or 0.86% to $102.79.

Brent crude hit a session low of $101.92 a barrel, while WTI touched a session low of $99.39 before both benchmarks pared losses.

Gold prices pared gains on Friday as oil prices erased some earlier losses, while investors kept tabs on the outlook for global interest rates. 

At 09:47 ET (13:47 GMT), spot gold had inched up 0.4% to $4,356.83 an ounce, while gold futures had fallen 0.1% to $4,394.67 an ounce.

Spot gold is up about 0.9% over the past one-week period. The metal recovered more than 2% on Thursday after touching a near six-week low on Wednesday.