US Dollar Weakens Against the Basket, Are Crypto Prices Being Challenged?

• The US Dollar Index is now at 97.846.
• Crypto prices have slipped over the last 24 hours.
• Consecutive ETF outflows add to ongoing worries.

The US Dollar just lost its shine on its index. Meanwhile, crypto prices continue to lose their momentum with the recent decline bringing out bearish sentiments for every token. Consecutive outflows are adding worry to the plunge in the sector.

US Dollar Against the Basket

The US Dollar Index shows a slight decline of 0.11%, taking the value to 97.846 when the article is being drafted. It remains above the ATL of 70.698 as of March 16, 2008, and below the ATH of 164.720 as of February 1985.

The yearly movement has been notable, given that it commenced at 107.704. The US Dollar Index reached its lowest on January 27, 2026, when it recorded 95.818. Interestingly, the Euro (EUR) has the highest weightage of 57.6% on the index, per TradingView. It is followed by Japanese Yen (JPY) with a weightage of 13.6%. The Swiss Franc (CHF) has the lowest weightage of 3.6%.

There is also a decline in the 10Y US Treasury Yield. It now stands at 4.198, down by 0.012%.

As for the US Dollar, European Central Bank policymaker Martin Kocher, has said that they see the weakness of the US Dollar partially desired, possibly, politically desired, as reported by Reuters.

Crypto Prices Slip

Crypto prices have slipped significantly due to several reasons. It could be incorrect to pin everything to the US Dollar, considering multiple factors influence crypto prices at different times. For instance, high institutional selling, a shift towards safer alternatives, and uncertainty over rate cuts might be adding fuel to the current fire.

The collective market cap has dipped by 5.82% to $2.26 trillion. The flagship token, BTC, has declined by 5% over the past 24 hours, recording a value of $66,579.83.

Martin Kocher addressed the role of the USD in euro’s strength. He refuted the possibility of sole strength, citing that growth in Europe has been too weak to make its currency stronger. Simply put, the fall of the US Dollar could be one of the many factors to also influence the crypto market but not the sole factor.

ETF Outflows

Further triggering concerns are the consecutive outflows from ETFs – Ethereum and Bitcoin. Spot Bitcoin ETFs last noted an outflow of $434.1 million on February 05, 2026. Spot Ethereum ETFs noted an outflow of $80.8 million on the same day. While Bitcoin ETFs extended the streak to 3 days, Ether ETFs took it forward for 2 days.

Their cumulative historical inflows are now $54.3 billion and $11.85 billion, applicable in the same order. If a decline in crypto prices was not sufficient, then the segment has consecutive ETF outflows to also look forward to. Investors across the globe have their sights on the US Dollar Index.

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