{"id":16416,"date":"2025-03-06T06:31:45","date_gmt":"2025-03-06T06:31:45","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=16416"},"modified":"2025-03-06T06:31:45","modified_gmt":"2025-03-06T06:31:45","slug":"declining-dollar-index-could-be-a-tailwind-for-crypto-analysts","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=16416","title":{"rendered":"Declining Dollar Index Could be a Tailwind For Crypto: Analysts"},"content":{"rendered":"<div>\n<p>The US Dollar Index (DXY) has fallen to a fourth-month low this week as concerns about sluggish expansion in the world\u2019s largest economy amid escalating trade tensions.<\/p>\n<p>DXY tanked to 104.13 on March 6, its lowest level since early November, <a href=\"https:\/\/www.tradingview.com\/symbols\/TVC-DXY\/\" target=\"_blank\" rel=\"noopener\" data-wpel-link=\"external\">according<\/a> to Tradingview. The US Dollar Index is an index of the value of the greenback relative to a basket of foreign currencies.<\/p>\n<p>A declining DXY is often associated with a shift toward riskier assets like stocks and crypto as investors move away from the safety of the USD.<\/p>\n<p>The index has just broken down from a head and shoulders topping pattern, reported Bravos Research, before adding:<\/p>\n<blockquote>\n<p>\u201cThis could be a major tailwind for risk-on assets.\u201d<\/p>\n<\/blockquote>\n<blockquote class=\"twitter-tweet\">\n<p dir=\"ltr\" lang=\"en\">BREAKING: US dollar has just broken down from a head and shoulders topping pattern<\/p>\n<p>This could be a major tailwind for risk-on assets <a href=\"https:\/\/t.co\/Ghf7kdI9Iq\" data-wpel-link=\"external\" target=\"_blank\">pic.twitter.com\/Ghf7kdI9Iq<\/a><\/p>\n<p>\u2014 Bravos Research (@bravosresearch) <a href=\"https:\/\/twitter.com\/bravosresearch\/status\/1897405176522346825?ref_src=twsrc%5Etfw\" data-wpel-link=\"external\" target=\"_blank\">March 5, 2025<\/a><\/p>\n<\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<h2>Crypto to Benefit?<\/h2>\n<p>When the dollar weakens, investors look for alternative stores of value, including Bitcoin, crypto assets, and gold, which often rallies when the greenback falters.<\/p>\n<p>Since most crypto assets are priced in USD, a weaker dollar also means it takes more dollars to buy the same amount of BTC or ETH, which can push prices higher.\u00a0Macro investor Raoul Pal echoed the sentiment, <a href=\"https:\/\/x.com\/RaoulGMI\/status\/1897336153705230770\" target=\"_blank\" rel=\"noopener\" data-wpel-link=\"external\">stating<\/a> that the second quarter of the year should be good for crypto.<\/p>\n<blockquote>\n<p>\u201cWith the dollar, rates and oil headed lower, financial conditions are now easing fast and lead risk assets by a couple of months. Should signal a good Q2 for tech and crypto and hopefully H2 2025, too as these trends continue.\u201d<\/p>\n<\/blockquote>\n<p>Ricardo Evangelista, senior analyst at ActivTrades, <a href=\"https:\/\/www.msn.com\/en-us\/health\/other\/dollar-index-hits-4-month-low-as-growth-worries-bite\/ar-AA1AkEea\" target=\"_blank\" rel=\"noopener\" data-wpel-link=\"external\">said<\/a>, \u201cTraders have shifted from pricing in growth and inflationary pressures from Trump\u2019s tariffs to anticipating a slowdown in the US economy as the country moves towards protectionism.\u201d<\/p>\n<p>\u201cOverall, the dollar is on the turn,\u201d commented Societe Generale FX strategist Kit Juckes in a note on March 5. \u201cFrom multi-decade highs, the dollar has limited upside, even if a catalyst for a fall has been absent until now,\u201d he added.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p dir=\"ltr\" lang=\"en\">BREAKING : U.S. Dollar<\/p>\n<p>U.S. Dollar Index <a href=\"https:\/\/twitter.com\/search?q=%24DXY&amp;src=ctag&amp;ref_src=twsrc%5Etfw\" data-wpel-link=\"external\" target=\"_blank\">$DXY<\/a> falls below its 200 Day moving average for the first time since November <a href=\"https:\/\/t.co\/7gLlRT9PnW\" data-wpel-link=\"external\" target=\"_blank\">pic.twitter.com\/7gLlRT9PnW<\/a><\/p>\n<p>\u2014 Barchart (@Barchart) <a href=\"https:\/\/twitter.com\/Barchart\/status\/1897317789951578440?ref_src=twsrc%5Etfw\" data-wpel-link=\"external\" target=\"_blank\">March 5, 2025<\/a><\/p>\n<\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<h2>Crypto Market Outlook<\/h2>\n<p>Crypto markets have already started to show signs of recovery today, with total capitalization gaining 2.3% to top $3.1 trillion.<\/p>\n<p>Bitcoin recovered from its dip earlier this week, topping $92,500 during morning trading in Asia on Thursday.\u00a0Meanwhile, Ethereum is slowly grinding higher from its <a href=\"https:\/\/cryptopotato.com\/ethereum-tanks-to-16-month-low-as-analysts-predict-plunge-to-1200\/\" data-wpel-link=\"internal\">16-month low<\/a>, adding 6% on the day to reach $2,300.\u00a0Altcoins are predominantly in the green, with bigger gains for Pi Network (PI), <a href=\"https:\/\/cryptopotato.com\/chainlink-sees-strong-accumulation-as-link-skyrockets-17-daily\/\" data-wpel-link=\"internal\">Chainlink<\/a> (LINK), and Bitcoin Cash (BCH).<\/p>\n<p>The post <a href=\"https:\/\/cryptopotato.com\/declining-dollar-index-could-be-a-tailwind-for-crypto-analysts\/\" rel=\"nofollow\">Declining Dollar Index Could be a Tailwind For Crypto: Analysts<\/a> appeared first on <a href=\"https:\/\/cryptopotato.com\/\" rel=\"nofollow\">CryptoPotato<\/a>.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The US Dollar Index (DXY) has fallen to a fourth-month low this week as concerns about sluggish expansion in the world\u2019s largest economy amid escalating trade tensions. DXY tanked to 104.13 on March 6, its lowest level since early November, according to Tradingview. The US Dollar Index is an index of the value of the [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-16416","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/16416","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=16416"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/16416\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=16416"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=16416"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=16416"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}