The diminishing power of the US dollar index (DXY) could potentially ignite a fresh bull market for Bitcoin (BTC), as suggested by Glassnode founders Jan Happel and Yann Allemann.
The founders, known as Negentropic on the social media platform X, refer to the DXY chart, which assesses the strength of the US dollar against a weighted basket of major foreign currencies.
Market analysts indicate that the DXY has likely reached its peak in an expanding diagonal pattern, indicating an imminent significant downward movement towards the lower range and potentially beyond.
“We believe that the DXY has reached its peak in the expanding diagonal pattern. This downward trend will provide favorable conditions for cryptocurrencies, particularly BTC.”


Source:
Negentropic/X
While some individuals are seeking a cheaper Bitcoin, the Glassnode founders contend that BTC has already reached the downward price target of $60,000 they predicted last month.
The Glassnode founders are of the opinion that the recent Bitcoin correction, which briefly dropped BTC below $60,000, may have cleared the path for the cryptocurrency to surge to new all-time highs.
“BTC demonstrates resilience! Despite a brief decline below the critical support level of $58,000, BTC quickly rebounds, with the relative strength index (RSI) indicating a shift towards bullish momentum.
With the aim of surpassing $68,000 and beyond, the market is filled with optimism. However, caution is still necessary, as any downward movement below $58,000 could derail the ongoing bull market trend.”


Source:
Negentropic/X
At the time of writing, BTC is valued at $65,253.
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