At the moment, there seems to be a general assumption that when the U.S.
Meanwhile, Bitcoin dropped 8% to a $35,300 low on June 18, further reinforcing the inverse correlation thesis.
Multiple forces could be behind Bitcoin’s failure to sustain a $40,000 support on June 16 and the subsequent price correction.
For starters, Liu He, Vice Premier of China and a member of the all-powerful eight-person politburo, led a meeting on preventing and controlling financial risks on May 24.
Bitcoin’s hash rate dropped to the lowest level since November 2020 as miners are starting to move away from China.
Once those issues are no longer threats, the gap that has been created from DXY’s positive move could fade away.