US Dollar May Plunge: Macro Analyst Explains Why That’s Crucial for Bitcoin

Depositphotos 22443531 l 2015 630x420

For the longest time, Bitcoin was seen as an asset that is independent of the movements of traditional markets. But, the pandemic struck. It has dramatically altered the state of the global economy, with analysts now arguing that BTC’s directionality is dependent on certain markets. One such market that strongly influences Bitcoin according to analysts is that of the U.S. dollar. Chart of Bitcoin with the U.S. dollar index (DXY) from TradingView.com After all, the U.S. dollar is the world’s reserve currency, accounting for much of the world’s commerce activity and financial markets. Bitcoin Could Surge as U.S. Dollar Faces Correction After flatlining for about a month, the co-founder of DTAP Capital and Gold Bullion International, Dan Tapiero, expects the U.S. dollar to drop. He cited the Federal Reserve’s potential intent to remove the 2% cap on the Consumer Price Index “as inflation stays stubbornly low with huge debt overhang.”…

Read the original article here

IF YOU LIKED THIS ARTICLE CLICK SHARE