Bank of America Says US Dollar Will Slide, What Does it Mean for Bitcoin?
The post Bank of America Says US Dollar Will Slide, What Does it Mean for Bitcoin? appeared on BitcoinEthereumNews.com. Bank of America executive says pressure on the US dollar may continue in the next few months A decline in the US dollar value may have positive effects on Bitcoin and gold A Bank of America executive opined that the value of the US dollar may continue to decline in the coming months. The US dollar index has already dropped significantly this year. A further decline will result in a significant shift in the markets of dollar-denominated assets like Bitcoin and gold. Jin Su, one of the presidents at the Bank of America (BofA), said that the US dollar may fall further this summer during an email interview. President Donald Trump’s tariff decisions have already impacted the dollar value adversely. The US dollar index is currently at 98.86 after dropping more than 9% this year. And the recent prediction of a further decline doesn’t sound good for the country. Several market analysts believe that tariffs are not good for the US economy because the country deals with most of the nations in trade. High-frequency indicators, such as ISM data and the weekly Dallas Fed economic index, are also weakening the demand witnessed right after Trump’s election win. What Does a US Dollar Fall Mean for Bitcoin and Gold? Dollar-denominated assets could witness growth if the US dollar continues to face pressure. Global markets use dollar denominations to display the prices of these assets. And they are considered better alternatives to the US dollar. Gold has always been a safe haven asset. Investors run back to it whenever there is uncertainty in the financial markets. On the other hand, Bitcoin is a risky asset but is considered a hedge against inflation of fiat currencies. But we cannot say for sure that Bitcoin’s value would increase when the US dollar’s value drops. …
The post Bank of America Says US Dollar Will Slide, What Does it Mean for Bitcoin? appeared on BitcoinEthereumNews.com.
Bank of America executive says pressure on the US dollar may continue in the next few months A decline in the US dollar value may have positive effects on Bitcoin and gold A Bank of America executive opined that the value of the US dollar may continue to decline in the coming months. The US dollar index has already dropped significantly this year. A further decline will result in a significant shift in the markets of dollar-denominated assets like Bitcoin and gold. Jin Su, one of the presidents at the Bank of America (BofA), said that the US dollar may fall further this summer during an email interview. President Donald Trump’s tariff decisions have already impacted the dollar value adversely. The US dollar index is currently at 98.86 after dropping more than 9% this year. And the recent prediction of a further decline doesn’t sound good for the country. Several market analysts believe that tariffs are not good for the US economy because the country deals with most of the nations in trade. High-frequency indicators, such as ISM data and the weekly Dallas Fed economic index, are also weakening the demand witnessed right after Trump’s election win. What Does a US Dollar Fall Mean for Bitcoin and Gold? Dollar-denominated assets could witness growth if the US dollar continues to face pressure. Global markets use dollar denominations to display the prices of these assets. And they are considered better alternatives to the US dollar. Gold has always been a safe haven asset. Investors run back to it whenever there is uncertainty in the financial markets. On the other hand, Bitcoin is a risky asset but is considered a hedge against inflation of fiat currencies. But we cannot say for sure that Bitcoin’s value would increase when the US dollar’s value drops. …
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