Bitcoin Expects to Hit $14K on Imminent US Dollar ‘Death Cross’

hqVvXSfn 980x580

Bitcoin bulls should buckle up as the cryptocurrency prepares for a rally towards its 2019 high at near $14,000. The expectations of a $2,000-plus jump come as Bitcoin maintains an inverse correlation with the US dollar since March 2020. Back then, the greenback spiked when the COVID-19 pandemic first struck the financial markets, as investors and companies stockpiled cash to survive the health crisis. At the same time, Bitcoin crashed by more than 60 percent. Bitcoin-DXY correlation since March 2020. Source: But the bias turned upside down for both the assets after the Federal Reserve committed to purchasing bonds infinitely and slashed interest rates to near-zero. The US dollar index (Symbol: DXY), which measures the greenback against a basket of foreign currencies, lost more than 10 percent of its value after the US central bank’s intervention. Bitcoin, on the other hand, surged by more than 200 percent. That somewhat…

Read the original article here