Cryptocurrency
The Dollar Is Poised to Gain Steam—and That’s Bad for Bitcoin
As reported on NewsBTC, “While Bitcoin is touted as uncorrelated, the cryptocurrency has been following the inverse of one asset over the past few months: the U.S. dollar. Like gold, BTC’s price action is partially dictated by the value of fiat currencies. “Over the past few months, the negative correlation gold and Bitcoin have with […]
As reported on NewsBTC, “While Bitcoin is touted as uncorrelated, the cryptocurrency has been following the inverse of one asset over the past few months: the U.S. dollar. Like gold, BTC’s price action is partially dictated by the value of fiat currencies.
“Over the past few months, the negative correlation gold and Bitcoin have with the U.S. dollar has been exacerbated.
“Unfortunately for BTC, then, there are analysts expecting the U.S. dollar to bounce in the coming weeks. This could put pressure on Bitcoin, forcing it back under $10,000.
“A leading cryptocurrency trader believes that the Dollar Index, which tracks the value of the U.S. dollar against a basket of foreign currencies, is in a textbook bull pattern…”