DXY $ since 1972, FED Pivots and What now for ALTS coins ?DXY $ since 1972 and Rate Cuts
When the FED cuts rates, the $ Drops in value most of the time as can be seen here on the chart below
( I have not "Boxed" the current FED Rate cuts to make it easier to see the PA )
This time it has continued to Rise for a number of reasons.
In Fact, ever since that Banking "Accident" in 2008, the DXY has gained in value, on average, but thats another story.
FED has said that Cuts may not occur in 2025. This Could once again make the $ a more attractive buy if other markets are falling. Then the $ could Stop being propped up !
Normally, as $ rises, Crypto struggles - again, we have seen BTC rise at the same time as the $ since July this year.
It is ALTS that have struggled and this may very well continue.
Normally, we wait for BTC/D to drop and then the Money flows into ALTS.. but if the money remains in Bitcoin, the ALT market requires an alternative source of income.
Could we see the DXY $ loose that money ?
But the pause in Rate Cuts may stop that
That War in Finance continues.
TradFi Lost round 1 and now Bitcoin is accepted, used, alllowed and is King. This is why the $ Will remain in Bitcoin, ETF's etc. We may see outflows every now and then but certainly Not the amount that drives the ALT market normally.
Will we even see a bear market again ?
ALTS however, they are the Minions that may yet suffer
The War continues and DeFi, for example, needs to step up and REALLY make it self a Lot more user friendly, attractive and bigger gains in use, stake cases.
2025 is going to be very interesting and Volatile
Don't Get Burnt. Be Cautious, the gains could be huge....as could the losses
