💎Today we will learn something new about the Dollar index (DXY).
💎This index measures the strength of the dollar against all other currencies (FIAT). A few weeks ago, we saw an almost identical price action (PA) to what we saw in 2016-2017, which happens to be the previous crypto bull market.
💎As shown in the 2 Weeks time frame chart bellow, the DXY is still trading bearish on a macro scale. Confirmation for our next leg down would be a break and close beneath 89.
💎Right now, The dollar index is approaching multi-year support. If the support zone fails to hold, we will see the most significant decline in Dollar value we didn't see in years. That would position BTC as the new reserve instead of $ and could send BTC to the magic $100,000 valuation in a few months. All eyes on the DXY support zone.
💎For those who have been following MyCryptoParadise for years already, you will know the inverse correlation between the dollar and BTC and how many times ParadiseTeam has shown you this specific chart in the past. Remember that everything is connected in crypto. And that is what makes crypto trading so Beautifull.
💎In a nutshell, while the DXY is bearish, Bitcoin should remain overall bullish from a long-term perspective. Keep in mind that the chart you see below is on the macro scale; that does not mean BTC could not see one more sell-off in the near future. Similarly, a surge of the DXY above 92 would make the future job quite harder for the Bitcoin bulls.
Good work, your analysis on another level. I agree with you that we will get to see bullish trend from bitcoin in the longer-term. This analysis have helped me in determining the right trading strategy.