dmodiwirijo

DXY vs BTC/USD

dmodiwirijo Updated   
INDEX:DXY   US DOLLAR CURRENCY INDEX
Correlation does not imply causation. However, the dollar is causal related to both observables: BTC/USD & DXY by definition. It is unlikey that those observables are not related when the dollar causes the money flow between these 2 spaces in which they operate by definition. BTC/USD & DXY can be causal related whilst exceptions may occur.
Challenges:
  • Which model predicts the causation with the highest probability in a dynamic way?
  • How is the strength of the dollar observed as the causation of derivatives ?
  • What attributes to flux between the operational spaces of the dollar?
Bitcoin seems to react on demand pressure of the dollar through the years. As the wind causes the windmill to be active, the dollar encloses temporal incentives to let Bitcoin find its way until the end.

DXY: The U.S. Dollar Index 0.18% tracks the strength of the dollar against a basket of major currencies. ( DXY -0.48% ) originally was developed by the U.S. Federal Reserve in 1973 to provide an external bilateral trade-weighted average value of the U.S. dollar against global currencies. U.S. Dollar Index 0.18% goes up when the U.S. dollar gains "strength" (value), compared to other currencies. The following six currencies are used to calculate the index:

Euro 0.52% (EUR) 57.6% weight
Japanese yen -0.29% (JPY) 13.6% weight
Pound sterling 0.27% (GBP) 11.9% weight
Canadian dollar -0.15% (CAD) 9.1% weight
Swedish krona 0.50% ( SEK 1.55% ) 4.2% weight
Swiss franc 1.78% (CHF) 3.6% weight
Comment:
tradecaptain.com/new...ctations-13-sep-2018 . DXY may rise within 1 year.
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