US Dollar Weakness Could Boost Bitcoin, Glassnode Founders Suggest
Glassnode founders Jan Happel and Yann Allemann suggest that the weakening of the US dollar index (DXY) could trigger a new bull market for Bitcoin (BTC).
Referencing the DXY chart, which measures the strength of the US dollar against a weighted basket of major foreign currencies, the founders, known as Negentropic on the social media platform X, point out an expanding diagonal pattern, indicating a potential significant downward movement to the lower bound of the pattern’s range, and possibly beyond.
Did DXY top in Expanding Diagonal?
We think it did – and the downside will bring a lot of tailwind to #Crypto and #BTC@HenrikZeberg pic.twitter.com/1tG3WlNbvj
— 𝗡𝗲𝗴𝗲𝗻𝘁𝗿𝗼𝗽𝗶𝗰 (@Negentropic_) April 18, 2024
According to analysts, DXY likely just printed a top in an expanding diagonal pattern, implying that a significant downward move to the lower bound of the pattern’s range and possibly beyond is underway.
Did DXY top in expanding diagonal? They think it did – and the downside will bring a lot of tailwind to crypto and BTC.
While some are looking for cheaper Bitcoin, the Glassnode founders say that BTC has already touched the downward price target of $60,000 they called for last month.
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The Glassnode founders believe that the latest Bitcoin correction that sent BTC briefly below $60,000 may have cleared the way for the crypto king to rally to fresh all-time highs.
#BTC shows resilience!
BTC displays remarkable resilience as it swiftly rebounds from the critical $58k support level, with the Relative Strength Index (RSI) suggesting a shift towards bullish momentum. With sights set on breaching $68k and beyond, optimism permeates the market.… pic.twitter.com/yv6FAhG7w1
— 𝗡𝗲𝗴𝗲𝗻𝘁𝗿𝗼𝗽𝗶𝗰 (@Negentropic_) April 16, 2024
BTC shows resilience! BTC displays remarkable resilience as it swiftly rebounds from the critical $58,000 support level, with the relative strength index (RSI) suggesting a shift towards bullish momentum.
With sights set on breaching $68,000 and beyond, optimism permeates the market. Yet, caution remains paramount, as any downward movement below $58,000 threatens to derail the ongoing bull market trend.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
