- Bitcoin breaks past trading channel, rises amid US dollar weakness.
- Bitcoin’s hedging role gains importance for US investors.
- Potential for Bitcoin to hit $90,000 resistance.
Matrixport has reported a notable breakout for Bitcoin as it surpasses previous trading trends, particularly against the backdrop of a weaker US dollar as of mid-April 2025.
Bitcoin Outpaces US Stocks as Dollar Loses Ground
Bitcoin’s recent performance has outpaced both US stocks and bonds, as detailed by Matrixport. Analysis reveals this change is intertwined with broader economic catalysts, notably following remarks by President Trump regarding the Federal Reserve, causing the US dollar index to drop below 100.
With Bitcoin reinforcing its negative correlation with the dollar, its role as a safe haven in financial portfolios has gained traction. This pattern mirrors previous scenarios during financial instabilities in regions such as Argentina, Turkey, and southern Europe. Market participants have shown interest as ETF inflows into Bitcoin rise in search of protection against policy risks. Matrixport’s analysis suggests Bitcoin could test the $90,000 resistance level, signaling continued investor confidence in its asset allocation importance.
U.S. President Trump’s Fed comments hit the dollar, sending DXY below 100, while Bitcoin climbed, reinforcing its role as a macro hedge. ETF flows may rise as investors seek protection from policy risk — is BTC regaining its safe-haven status? – Matrixport Analysis, Financial Services Platform, Matrixport, Matrixport Daily Chart, April 21, 2025
Rising Demand For Bitcoin Amid Global Macroeconomic Pressures
Did you know? Bitcoin previously strengthened during Argentina’s debt crisis, serving as an effective hedge for local investors against currency devaluation, a pattern now echoed for US investors.
According to CoinMarketCap, Bitcoin’s current market price stands at $88,400.05, with a market capitalization of $1.76 trillion. The asset’s 24-hour trading volume experienced a 50.63% surge, totaling $38.87 billion, while its circulating supply reached 19.85 million BTC of a 21 million max supply.
The Coincu research team suggests that, as geopolitical tensions and monetary policies drive financial uncertainties, Bitcoin’s technological resilience and market demand are likely to continue promoting its integration into diversified global investment portfolios, reinforcing its hedge status further.
Source: https://coincu.com/333618-bitcoin-hedge-us-dollar/