Real Vision\u2019s chief digital assets analyst Jamie Coutts believes Bitcoin (BTC<\/a>) is gearing up for a massive breakout after weeks of volatility.<\/p>\n Coutts tells<\/a> his 35,600 followers on the social media platform X that he thinks a weakening US dollar and a massive sell-off in the crypto markets sets Bitcoin up for a bullish reversal by May, when it may print new all-time highs.<\/p>\n According to the Real Vision analyst, the strength or weakness of the US dollar as measured by the US Dollar Index (DXY), a benchmark of the value of the US dollar compared to a basket of six major currencies, determines Bitcoin\u2019s price direction.<\/p>\n When the DXY is strong, it is often seen as a sign that the US economy is strong and that the US dollar is a safe haven asset. This can lead to selling pressure in cryptocurrencies, as investors move their money into the US dollar.<\/p>\n \u201cThis week had it all. The DXY saw its fourth largest negative three-day move \u2013 massively liquidity-positive. Just as Bitcoin nuked and had its worst February in a decade. Meanwhile, in altcoin land, the Top 200 crypto index puked one more time. The chart shows that 365 days of new lows hit 47%, a hallmark of capitulation in a bull cycle. The stage is set for a new all-time high in Bitcoin and Top 200 aggregate market cap by May.\u201d<\/em><\/p>\n He suggests<\/a> that a bottom may now be forming in the altcoin market after the major selloff that could lead to some alts having explosive rallies to new all-time highs (ATHs).<\/p>\n \u201cI expect some alts to make new ATHs this cycle.\u201d <\/em><\/p>\n He also shares<\/a> a chart showing that the three previous times the DXY fell by a similar percentage change Bitcoin went on explosive rallies.<\/p>\n \u201cDon\u2019t think people understand the significance of the DXY move in the past three days and what it means for Bitcoin.\u201d<\/em><\/p>\n The DXY is currently at 104 while Bitcoin is trading for $88,787 at time of writing, down 1.2% in the last 24 hours.<\/p>\n Don’t Miss a Beat \u2013 Subscribe<\/a> to get email alerts delivered directly to your inbox <\/span><\/em>  
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<\/center><\/p>\nDisclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.<\/h6>\n<\/div><\/div>\n
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