Data challenges the DXY correlation to Bitcoin rallies and corrections ‘thesis’

Data challenges the DXY correlation to Bitcoin rallies and corrections ‘thesis’


Presently, there seems to be a general assumption that when the U.S. dollar value increases against other global major currencies, as measured by the DXY index, the impact on Bitcoin (BTC) is negative.

Traders and influencers have been issuing alerts about this inverse correlation, and how the eventual reversal of the movement would likely push Bitcoin price higher.

Analyst @CryptoBullGems recently reviewed how the DXY index looks overbought after its relative strength index (RSI) passed 78 and could be the start of a retrace for the dollar index.

This is literally the only thing you need to look at:

Trending: Banks Already Restricting Cash Withdrawals In USA?

The $DXY is crazy overbought right now and due a correction. $BTC is the most oversold it ever has been on the monthly timeframe.

BITCOIN AND THE DOLLAR SHARE AN

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