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Stronger dollar prospects risk pushing down Bitcoin price to $32K

Published 04/07/2022, 02:20 PM
Updated 04/07/2022, 04:00 PM
Stronger dollar prospects risk pushing down Bitcoin price to $32K
DX
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BTC/USD
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BTC/USD
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The U.S. dollar's ability to continue its rally in Q2 could prove fatal for Bitcoin (BTC), which has demonstrated an inverse correlation with the dollar since January 2022.

BTC/USD daily price chart featuring correlation with DXY. Source: TradingView

The U.S. dollar index (DXY), which measures the greenback's strength against a basket of foreign currencies, reached its 21-month trading high of 99.82 on April 7, the highest level since May 2020.

DXY daily price chart featuring "bull flag'"setup. Source: TradingView

Golden cross on the weekly chart

DXY weekly price chart featuring a golden cross. Source: TradingView
BTC/USD daily price chart featuring 'bear flag.' Source: TradingView

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