This is a very clear Chart with the DXY Index on top and the Bitcoin Index below, Both starting in 2009.
You tell me which is more volatile.
Things to take note of here
See how, Most of the time, when DXY Rises, Bitcoin Drops.
Compare the dates on both charts and see this.
And what REALLY needs to be paid attention to Right now is how the DXY is back on its lower trend line of Support.
It has bounced off this trend line many times since 2009
We maybe about to see another one anytime between now and Dec.
The interesting thing about this is simply that should the FED Cut Rates next week, this reduces the desire to hold $ as returns are diminished.
This would Drop the DXY below the support it created in 2008.
The chart below shows DXY since 1973 and what happened on major rate cuts
As you can see, nearly Every time, DXY Drops when Rates are cut.
So, The question is this.
If The FED drops rates, will DXY Drop below a strong line of support and BTC Rise as Risk becomes cheaper. ?
OR
Will DXY go against the tradition, bounce off support and Rise as Rates lower the cost of borrowing the $ and industry investment grows ?
This could also lead to an increase in investment in Bitcoin.
For Bitcoin, there are many things that say we are near a Top but still have room to move higher.
But there are also a number of things that point towards the pattern of previous cycles are changed. The ETF system leading to Bitcoin being bought and Held, stopping the massive price swings could be a major factor.
Look what happened to GOLD after the ETF were allowed in 2004
The asset has Risen ever since. But it has to be said, Bitcoin % of profit since 2009 is Many Many times more than Gold !
We are at a crossroads for all these assets
Next week the FED tells us if they will Cut rates as expected.
We will then see how Markets react
Hang on tight Ladies and Gents.
We have some interesting days ahead.
Nothing to be taken as Financial advice.
I will always say
"Only invest what you can afford to loose. When you are ready, take out your original investment. This way, it is only your profit that is at risk"
THAT is Financial advice
I will always say
"Only invest what you can afford to loose. When you are ready, take out your original investment. This way, it is only your profit that is at risk"
THAT is Financial advice
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これらの情報および投稿は、TradingViewが提供または保証する金融、投資、取引、またはその他の種類のアドバイスや推奨を意図したものではなく、またそのようなものでもありません。詳しくは利用規約をご覧ください。
Nothing to be taken as Financial advice.
I will always say
"Only invest what you can afford to loose. When you are ready, take out your original investment. This way, it is only your profit that is at risk"
THAT is Financial advice
I will always say
"Only invest what you can afford to loose. When you are ready, take out your original investment. This way, it is only your profit that is at risk"
THAT is Financial advice
免責事項
これらの情報および投稿は、TradingViewが提供または保証する金融、投資、取引、またはその他の種類のアドバイスや推奨を意図したものではなく、またそのようなものでもありません。詳しくは利用規約をご覧ください。