{"id":559007,"date":"2023-03-03T15:15:00","date_gmt":"2023-03-03T12:15:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/dollars-sharp-recovery-puts-bitcoins-25k-breakout-prospects-at-risk\/"},"modified":"2023-03-03T15:15:00","modified_gmt":"2023-03-03T12:15:00","slug":"dollars-sharp-recovery-puts-bitcoins-25k-breakout-prospects-at-risk","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/dollars-sharp-recovery-puts-bitcoins-25k-breakout-prospects-at-risk\/","title":{"rendered":"# Dollar\u2019s sharp recovery puts Bitcoin\u2019s $25K breakout prospects at risk"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a325676bb3bf\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a325676bb3bf\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/dollars-sharp-recovery-puts-bitcoins-25k-breakout-prospects-at-risk\/#%E2%80%9D_Dollars_sharp_recovery_puts_Bitcoins_25K_breakout_prospects_at_risk_%E2%80%9C\" >&#8221; Dollar\u2019s sharp recovery puts Bitcoin\u2019s $25K breakout prospects at risk &#8220;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/dollars-sharp-recovery-puts-bitcoins-25k-breakout-prospects-at-risk\/#US_dollar_strength_reemerges\" >US dollar strength reemerges<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/dollars-sharp-recovery-puts-bitcoins-25k-breakout-prospects-at-risk\/#Inflation_persists\" >Inflation persists<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/buradabiliyorum.com\/en\/dollars-sharp-recovery-puts-bitcoins-25k-breakout-prospects-at-risk\/#DXY_chart_paints_inverse_head-and-shoulders\" >DXY chart paints inverse head-and-shoulders<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/buradabiliyorum.com\/en\/dollars-sharp-recovery-puts-bitcoins-25k-breakout-prospects-at-risk\/#Bitcoin_price_to_retest_20K\" >Bitcoin price to retest $20K?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Dollars_sharp_recovery_puts_Bitcoins_25K_breakout_prospects_at_risk_%E2%80%9C\"><\/span>&#8221; Dollar\u2019s sharp recovery puts Bitcoin\u2019s $25K breakout prospects at risk &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<div class=\"post-content\" data-v-48054ca8>Bitcoin (BTC) investors reeling from the shock of recent cryptocurrency company failures and banking issues may face another potential problem: a recovering United States dollar.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"US_dollar_strength_reemerges\"><\/span>US dollar strength reemerges<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Notably, the U.S. Dollar Index (DXY), which tracks the greenback\u2019s performance against a basket of top foreign currencies, has risen 4% from its Feb. 3 low of 100.82, amid anticipations that the U.S. Federal Reserve will continue raising benchmark rates to cool inflation.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Inflation_persists\"><\/span>Inflation persists<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>An air of caution remains as fresh U.S. data shows a recession is not yet imminent. <\/p>\n<p>That includes the latest jobless claims, which fell 2,000 to a seasonally adjusted 190,000 in the week ending Feb. 25, and stronger consumer spending in January.\u00a0<\/p>\n<p>Meanwhile, 90% of the U.S. manufacturers surveyed by <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.bloomberg.com\/opinion\/articles\/2023-03-02\/inflation-fears-stoked-as-manufacturing-remains-robust\">Bloomberg<\/a> complained about rising input prices despite the easing supply-chain problems.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/90c0d3a0-fa59-4297-94a7-89d42b88a5b7.png\" alt=\"\" title=\"\"><figcaption style=\"text-align: center;\"><em>ISM manufacturing prices paid. Source: Bloomberg<\/em><\/figcaption><\/figure>\n<p>While the problem is not as severe as during the pandemic, the survey shows inflationary pressure has not gone away despite the Fed\u2019s aggressive rate hikes.<\/p>\n<p>\u201cRecent data suggest that consumer spending isn\u2019t slowing that much, that the labor market continues to run unsustainably hot, and that inflation is not coming down as fast as I thought,\u201d noted\u00a0Fed Governor Christopher Waller, adding:<\/p>\n<blockquote><p>\u201cIf those data reports continue to come in too hot, the policy target range will have to be raised this year even more.\u201c<\/p><\/blockquote>\n<p>Bank of America Global Research <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.reuters.com\/markets\/rates-bonds\/fed-might-raise-policy-rates-6-bofa-2023-02-28\/\">anticipates<\/a> the Fed to raise the interest rate to almost 6% from the current 4.5\u20134.75% range. Theoretically, it should renew investors\u2019 demand for the dollar by putting downside pressure on \u201criskier\u201d assets like Bitcoin.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"DXY_chart_paints_inverse_head-and-shoulders\"><\/span>DXY chart paints inverse head-and-shoulders<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>From a technical perspective, the U.S. Dollar Index looks poised to rise by more than 4.5% in the coming months due to the formation of a classic bullish reversal pattern.<\/p>\n<p>Dubbed inverse-head-and-shoulders, the pattern develops when the price forms three troughs below a common resistance line (neckline), with the middle trough (head) deeper than the other two (left and right shoulders).<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/8c5e5484-b550-42b5-adc4-044c0f893888.png\"><figcaption style=\"text-align: center;\"><em>DXY daily price chart. Source: TradingView<\/em><\/figcaption><\/figure>\n<p>An inverse-head-and-shoulders pattern resolves after the price breaks above the neckline and rises by as much as the maximum height between the pattern\u2019s lowest level and the neckline. <\/p>\n<p>If the DXY successfully breaks above its neckline of 105.25, the likelihood of an extended recovery toward 109.75 in 2023 will be higher.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Bitcoin_price_to_retest_20K\"><\/span>Bitcoin price to retest $20K?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The stronger dollar prospects come as Bitcoin bulls fail to sustain the price rally in breaking the $25,000 technical resistance level. BTC\u2019s price has tumbled by around 13% since, with macro headwinds being one of the primary reasons.\u00a0<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/a6303ca9-38e6-4893-b8c4-b92b2c693b41.png\"><\/figure>\n<p>What&#8217;s more, concerns over\u00a0Silvergate\u00a0and potential ramifications for the industry have also kept the price in check\u00a0in the past few days.\u00a0\u00a0<\/p>\n<p><strong><em>Related:\u00a0Bitcoin price slides 5% in 60 minutes amid Silvergate uncertainty<\/em><\/strong><\/p>\n<p>\u201cAny liquidity concerns will have a direct impact on market conditions and may affect the access and availability of some client funds,&#8221; <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.bloomberg.com\/news\/articles\/2023-03-03\/bitcoin-slides-with-wider-crypto-markets-amid-silvergate-fallout\">warned<\/a>\u00a0John Toro, head of trading at digital-asset exchange Independent Reserve.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Crypto headwinds are starting to pile up, and may explain the reason for the recent sell-off. <\/p>\n<p>\u2022 Mt. Gox <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=%24BTC&amp;src=ctag&amp;ref_src=twsrc%5Etfw\">$BTC<\/a> unlock<br \/>\u2022 Silvergate<br \/>\u2022 Shanghai <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=%24ETH&amp;src=ctag&amp;ref_src=twsrc%5Etfw\">$ETH<\/a> unlock<br \/>\u2022 Hot CPI (50bps now a real possibility)<br \/>\u2022 Asia selling open<br \/>\u2022 Mass liquidations<br \/>\u2022 Stock market weakness (futures red)<\/p>\n<p>\u2014 Miles Deutscher (@milesdeutscher) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/milesdeutscher\/status\/1631498929392222208?ref_src=twsrc%5Etfw\">March 3, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Technically, Bitcoin has maintained its short-term bullish bias by holding strongly above its two key exponential moving averages (EMA): the 50-day EMA (red) near $22,500 and the 200-day EMA (blue) near $21,770.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Dumped saved by the 200EMA on daily<\/p>\n<p>As long as we are above it, we gucci &#8211; below we flipping burgers <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=%24BTC&amp;src=ctag&amp;ref_src=twsrc%5Etfw\">$BTC<\/a> <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/NuFL2v8V5w\">pic.twitter.com\/NuFL2v8V5w<\/a><\/p>\n<p>\u2014 Teddy (@TeddyCleps) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/TeddyCleps\/status\/1631588962975338497?ref_src=twsrc%5Etfw\">March 3, 2023<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>However, traders should watch for a potential break below the EMAs \u2014 which when coupled with rising rates and additional negative <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> \u2014 could see BTC price retest the key $20,000\u00a0support level in the coming weeks.<\/p>\n<p class=\"post-content__disclaimer\">This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.\n<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/dollar-s-sharp-recovery-puts-bitcoin-s-25k-breakout-prospects-at-risk\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Dollar\u2019s sharp recovery puts Bitcoin\u2019s $25K breakout prospects at risk &#8220; Bitcoin (BTC) investors reeling from the shock of recent cryptocurrency company failures and banking issues may face another potential problem: a recovering United States dollar. US dollar strength reemerges Notably, the U.S. Dollar Index (DXY), which tracks the greenback\u2019s performance against a basket&#8230;<\/p>\n","protected":false},"author":1,"featured_media":559008,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/cdn-cgi\/image\/format=auto,onerror=redirect,quality=90,width=1200\/https:\/\/s3.cointelegraph.com\/uploads\/2023-03\/16022257-2229-4a5b-9a22-9e1edd9d837c.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,81951,74937,76153,79109,74939,75164,78261,70550,70551,73785],"class_list":["post-559007","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-analysis","tag-bitcoin-price","tag-dollar","tag-interest-rate","tag-market-analysis","tag-price-analysis","tag-tech-analysis","tag-federal-reserve","tag-inflation","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/559007","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=559007"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/559007\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/559008"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=559007"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=559007"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=559007"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}