USD has continued its insane rally from last year all the way up to resistance levels that go back 20 years. In which it was rejected at.
The rise in the dollar compounded the effect of collapses of LUNA, 3AC, VOYAGER and a few stablecoins unpegging.
Even though inflation is out of control in the U.S., when you compare the Dollar to other currencies, it's doing pretty well which is why investors were flocking to the dollar. Regardless of it dying, shrinking purchasing power, it still is the world reserve currency. For the most part.
After rejection at the 1.09 area it has retraced down to around 1.06.
I believe if the dollar can break down and close a higher time frame candle below 1.04-1.05, this may be the switch for Crypto to really move.
Keep an eye on the 1.04 range as well as the weekly RSI which has kept a steady trend upward making higher lows all the way back to Aug 2020. Also, the 0.618 FIB level will be another to watch.
Will this help propel crypto out of bear market? Hard to say. Crypto has done plenty of 100%+ rallies in past bear markets and many are convinced "this time is different" beacause of the recession. But you know what they say about following the herd.
If the dollar starts tanking, perhaps we will see the insane rallies in metals like Gold and Silver many of have been waiting for and BTC can go ahead and test 28k.
The rise in the dollar compounded the effect of collapses of LUNA, 3AC, VOYAGER and a few stablecoins unpegging.
Even though inflation is out of control in the U.S., when you compare the Dollar to other currencies, it's doing pretty well which is why investors were flocking to the dollar. Regardless of it dying, shrinking purchasing power, it still is the world reserve currency. For the most part.
After rejection at the 1.09 area it has retraced down to around 1.06.
I believe if the dollar can break down and close a higher time frame candle below 1.04-1.05, this may be the switch for Crypto to really move.
Keep an eye on the 1.04 range as well as the weekly RSI which has kept a steady trend upward making higher lows all the way back to Aug 2020. Also, the 0.618 FIB level will be another to watch.
Will this help propel crypto out of bear market? Hard to say. Crypto has done plenty of 100%+ rallies in past bear markets and many are convinced "this time is different" beacause of the recession. But you know what they say about following the herd.
If the dollar starts tanking, perhaps we will see the insane rallies in metals like Gold and Silver many of have been waiting for and BTC can go ahead and test 28k.
Comment:
Added a new boom to DXY for a bit more clarity after the recent rally.
Watch out for a double top.
Watch out for a double top.
Comment:
USD back from the dead and putting a hurting on risk assets.
Notice the weekly candle body closed higher than the previous weekly bodies.
USD is not my expertise but if you are heavily in crypto and not sideline perhaps keep an eye on the 1.09 very closely.
Notice the weekly candle body closed higher than the previous weekly bodies.
USD is not my expertise but if you are heavily in crypto and not sideline perhaps keep an eye on the 1.09 very closely.
USD cooled down bit and has found support around the 1.05 zone. Based on how you draw your parabola, price action broke below but now has rebounded and testing the line.
RSI found support after just barely peaking its head below and now is back above the trend line spanning back to 2021.
We saw some rallies in crypto/metals but those are now back to sputtering/consolidating after rallying. Seems many truly feel the bottom is in while there are a some who are confident the market still needs a flush out. As of now, I am in the latter.
Do you think the US FED do something similar?