Latest news with #Darkfost
Yahoo
10-07-2025
- Business
- Yahoo
Bitcoin Could Get a Boost as U.S. Dollar Hits 21-Year Weakness Milestone
Bitcoin may be on the edge of another bullish breakoutand this time, it's not about halving cycles or ETF flows. The catalyst? A slumping U.S. dollar. According to data from CryptoQuant, the U.S. Dollar Index is now trading over 6.5 points below its 200-day moving averagea technical breakdown not seen in 21 years. That's notable because Bitcoin has long shared an inverse relationship with the dollar: when one falls, the other tends to rise. The DXY touched 96.377 on July 1, its lowest point since early 2022, and has shed more than 10% year to date. On-chain analysts say this kind of dollar weaknessespecially when paired with soaring U.S. debt levelshas historically signaled risk-on rotations from traditional investors. And risk-on often means Bitcoin (BTC-USD). While the U.S. debt reaches a new all-time high, the DXY has just hit a historically weak level, wrote CryptoQuant contributor Darkfost, adding that this environment tends to benefit risk assets like Bitcoin. But curiously, Bitcoin's price hasn't fully reactedyet. While BTC is hovering above $111,000, analysts are watching for signs of a delayed upside response. A chart shared by CryptoQuant shows that during previous dips below the DXY's 365-day moving average, Bitcoin prices have followed with strong upward momentum. That hasn't happened so far, but macro watchers say it might just be a matter of time. Darkfost explains that as the dollar loses its safe haven appeal, institutional portfolios start tilting toward alternative assetsincluding crypto. Adding to that view, macro economist Lyn Alden told Cointelegraph that if the supply of dollars and systemwide credit continues expanding, Bitcoin becomes useful to own over the longer termespecially as fiat weakens structurally. For now, the dollar's breakdown is a chart watchers' red flagbut for Bitcoin bulls, it may be a green light. This article first appeared on GuruFocus.
Yahoo
15-04-2025
- Business
- Yahoo
Why This Analyst Says 'It Might Be Time To Start A DCA Strategy On Altcoins'
A CryptoQuant analyst has suggested it might be time for investors to load up on altcoins. The analyst's view is based on a key chart. Other analysts have also expressed similar views, but the tide may not lift all boats. Over the past few months, the volatility of altcoins, which makes them appealing to investors with high-risk tolerance, has again proven to be a double-edged sword. Amid broader market uncertainty, most altcoins have tanked over 50% from their Q4 2024 highs. But now, one analyst suggests that a reversal may be on the horizon. 'It might be time to start a DCA strategy on altcoins,' CryptoQuant analyst 'Darkfost' asserted in a report on Thursday. Don't Miss: 'Scrolling To UBI' — Deloitte's #1 fastest-growing software company allows users to earn money on their phones. Hasbro, MGM, and Skechers trust this AI marketing firm — . DCA, short for dollar-cost averaging, is a popular investment strategy where a fixed amount of money is invested at regular intervals regardless of price action. By suggesting that investors start a DCA altcoin strategy, Darkfost is encouraging investors to load up on altcoins in anticipation of a potential analyst's view is based on an intersection of moving averages on the Aggregated Altcoin Trading Volume for Stablecoin Quote Pairs chart, tracking volumes across multiple altcoin pairs. Darkfost argues that altcoins have recently entered 'a buying zone,' as the 30-day moving average on this chart has fallen below the annual average. Trending: Here's what Americans think you need to be considered wealthy. The analyst highlighted that this last occurred in September 2023, before the beginning of the bullish market run that continued in 2024. 'These phases can last several weeks or even months, but historically, they've consistently offered attractive opportunities to set up a DCA strategy,' the CryptoQuant analyst stressed. Darkfost is not the only analyst recently suggesting that an altcoin rally may be on the horizon. In an April 3 livestream, Real Vision Chief Crypto Analyst Jamie Coutts argued that altcoins still had gas for one more impulsive move in the current market cycle, eying June for the start of such a rally. But Coutts cautioned that the tide would not lift all boats, instead urging investors to look out for assets seeing a bump in network activity. This view suggests that the coming rally may not be the all-out 'altcoin season' that market participants have been pining for since the recent bull run kicked off. It aligns with recent arguments from CryptoQuant CEO Ki Young Ju that the dynamics of crypto altcoin season have season is a bull market phase during which altcoins record substantial price increases, significantly outperforming Bitcoin. It has historically been the result of capital rotation from Bitcoin as investors seek higher beta plays. As such, the historical sign for altcoin season has been a decline in Bitcoin dominance. But with the emergence of proxies like MicroStrategy (NASDAQ:MSTR) and spot exchange-traded funds, Young Ju contended that the cord between Bitcoin and altcoins has been broken. Further, he argued that the metric to watch was no longer Bitcoin dominance but trading volumes, theorizing that coins that will make it will be the ones with paper wrappers like ETFs or ecosystems based on stablecoins or Bitcoin. Nonetheless, any potential altcoin rally will likely depend on an improvement in the current macroeconomic conditions, as uncertainty sparked by President Donald Trump's tariff policy discourages investments in risk assets. Read Next:Deloitte's fastest-growing software company partners with Amazon, Walmart & Target – Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? STRATEGY (MSTR): Free Stock Analysis Report This article Why This Analyst Says 'It Might Be Time To Start A DCA Strategy On Altcoins' originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Sign in to access your portfolio
Yahoo
12-02-2025
- Business
- Yahoo
Bitcoin Miners Enter "Capitulation" Phase, Sparking Speculation of Price Reversal Below $100K
Bitcoin's market is showing signs of a potential price shift as miners enter a phase of "capitulation." This phase is identified by the hash ribbon indicator, which tracks the 30-day and 60-day moving averages of Bitcoin's hashrate. When the 30-day moving average dips below the 60-day average, it signals that mining Bitcoin has become financially unsustainable, with the cost of mining surpassing the value of Bitcoin itself. This situation, known as miner capitulation, is a rare occurrence but often precedes a significant price reversal. On Feb. 10, 2025, Bitcoin analytics account Bitcoindata21 highlighted a potential turning point for Bitcoin, citing the hash ribbon's triggering of a capitulation signal. This event is considered a local bottom indicator, often leading to upward price action. The last time such a signal appeared was in October 2024, when Bitcoin's price surged from $73,800 to $108,000 in just two months. Historically, miner capitulation events have preceded periods of strong price rallies for Bitcoin. The hash ribbon indicator is considered a reliable tool for predicting market reversals. When the 30-day moving average of hashrate crosses above the 60-day moving average, it marks the end of the capitulation phase, signaling that a potential price recovery is underway. This shift in the hash ribbon's data suggests that the worst of the miner capitulation phase could be over, with analysts anticipating a possible upward trend in Bitcoin's price. Darkfost, a CryptoQuant contributor, affirmed the reliability of the hash ribbon, stating that it has only failed once, during the market shock caused by COVID-19. He emphasized that every time the indicator has flashed, Bitcoin has experienced a rally. The hash ribbon, according to Darkfost, has consistently highlighted optimal points for entering the market, both for short-term positioning and long-term accumulation. Charles Edwards, founder of Capriole Investments, also noted a recent trend among miners to increase their Bitcoin holdings. This indicates that miners are expecting Bitcoin's price to rise in the future. Edwards pointed out that while the current capitulation phase has only just begun, the hash ribbon's eventual buy signal could signal a shift in market sentiment. He acknowledged that much can happen before a buy signal is confirmed, but the current data suggests that we may be entering a 'window of opportunity' for Bitcoin. With the hash ribbon indicating miner capitulation, Bitcoin's market is under close scrutiny. The pattern of price rebounds following such capitulation events has analysts cautiously optimistic about the potential for a new bullish phase. However, as always, Bitcoin's market is volatile, and the coming weeks will determine whether the predicted price surge materializes. Sign in to access your portfolio
