Bitcoin Bull Run Ahead? Weaker Dollar Could Be the Key

Bitcoin’s potential for a bull run might depend on the trajectory of the US Dollar Index (DXY), according to prominent crypto trader CarpeNoctom.

In the aftermath of Donald Trump’s sweeping tariffs, both crypto and stock markets have shown heightened sensitivity to economic shifts. CarpeNoctom points out that if the DXY drops below a crucial support level, it could signal a major rally for Bitcoin.

The DXY has seen a notable drop of 8% over the past 80 days, slipping from 110.176 to 101.267. During this time, Bitcoin has also faced a downturn, losing about 13% of its value.

$BTC needs to uncorrelate from US tech and we gucci pic.twitter.com/5x8F1w2ucO

— #333kByJuly2025 (@CarpeNoctom) April 3, 2025

Typically, a declining dollar is seen as favorable for risk assets, but the recent tariff-related disruptions have kept both equities and cryptocurrencies under pressure. CarpeNoctom believes that the recent dip in the DXY from 103 to 101 could be a pivotal moment for the crypto market, hinting at a possible breakout for Bitcoin.

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Adding to this outlook, Arthur Hayes, the former BitMEX CEO, sees potential benefits for Bitcoin from the current economic climate. Hayes argues that weakening the dollar through tariffs could prompt foreign investors to pull money from US tech stocks, redirecting it into assets like Bitcoin and gold. This could set the stage for a medium-term bullish trend, despite short-term volatility.

Meanwhile, TraderMagus, another respected analyst, is closely watching Bitcoin’s price movements around two key levels: $80,000 and $90,000. He suggests that if Bitcoin breaks below $80,000, it could be a buying opportunity, while surpassing $90,000 with sustained strength might mark the start of a more extended rally. However, if Bitcoin fails to maintain momentum above $90,000, it might slip back into consolidation or even drop to $69,000, where long-term holders could start accumulating again.

While the market remains uncertain, traders are paying close attention to the DXY as a potential indicator for Bitcoin’s next big move. If the dollar continues to weaken, it could provide the spark needed for Bitcoin to regain bullish momentum.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.