The dollar has been in sharp decline. Analysts are calling for the global reserve to lose its crown to the likes of Bitcoin or the yuan. Sentiment has reached substantial lows.
However, when dollar sentiment fell this low in the past, it often triggered a strong reversal in the currency. Such a reversal, if it happens again, could bring a day of reckoning to crypto assets.
Dollar Sentiment Reaches Reversal Point, Despite More To Drop
All markets are priced in USD due to the United States dollar’s role as the global reserve currency. It is the base pair currency that all exchange rates are based on, and the most dominant currency in terms of overall trading volume. Its power is unprecedented, but fading as of late due to the pandemic, political tensions, and unrest across the country.
Analyst shave been calling for as much as a 35% decline in the dollar currency index against other major national currencies. These assets include the yuan, euro, gold, and even Bitcoin.
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