Bitcoin’s dizzying bull run is showing no signs of slowing despite a surge in US Treasury bond yields.

The cryptocurrency market leader hit a new life high of $ 51,348 early Wednesday after hitting the psychological level of $ 50,000 for the first time on Tuesday, according to CoinDesk 20 data. In this month alone, prices are up 53%.

The latest surge follows the announcement by the publicly traded company MicroStrategy that it is increasing its Bitcoin stash again. The company on Tuesday announced a $ 600 million debt sale to help fund the additional purchases. The business intelligence company has been buying Bitcoin since August 2020 and has a profit of more than $ 2 billion.

Avi Felman, head of trading at BlockTower Capital, said MicroStrategy’s announcement may have been timed to force an interruption above the critical $ 50,000 level. The company made a similar announcement on Dec. 7, according to which Bitcoin passed the then huge US $ 20,000 hurdle.

It remains to be seen whether the latest move above $ 50,000 is sustainable as US bond yields rise and gold pushes down. Bitcoin is widely viewed as a hedge against inflation like gold.

The 10-year Treasury note yield hit a 12-month high of 1.33% this morning and is up over 20 basis points this year. Gold is currently trading at a two-week low of $ 1,790 an ounce. Bitcoin is showing resilience, however, and can come under pressure if real or inflation-adjusted returns rise.

According to the US Treasury Department, the 10-year bond posted an inflation-adjusted return of -1% on Tuesday.

“Momentum funds that bought Bitcoin as a hedge against inflation could sell when real returns rise,” Felman told CoinDesk.

Perceived stores of value usually move in the opposite direction to real bond yields. For example, gold rose more than $ 600 in the five months to August, to a record $ 2,075, as the U.S. 10-year real return fell from 0.55% to -1.08%. Bitcoin has seen an amazing rally over the past 11 months, along with a sustained decline in returns.

Yield increases may be limited, however, as the Federal Reserve has an open-ended bond-buying program and inflation is likely to benefit from rising oil prices.

At press time, Bitcoin is trading at around $ 50,946, up 3.6% in a 24-hour period.