Fellow analyst on Trading View #TradingShot brought up an interesting analysis on the notion correlation of BTC with the DXY (U.S. Dollar) and M1 (Money Supply).
His view from December 2019 to today seemed to give room for speculation on a possible correlation.
Intrigued by this idea I compared the three in separate panes and on the weekly view starting July 2012.
Money supply has been steadily growing and with the "Corona crisis" just had an extra spike.
So then that leaves the point about maybe the Dollars strength influencing the value of Bitcoin.
While there may be some truth to that there is no long term connection.
In 2018 and 2019 the dollar grew stronger against the DXY basket currencies yet Bitcoin was able to rise from the ashes and also regain value.
Still on the gut feeling there just maybe something there to explore further.
Thanks #TradingShot
His view from December 2019 to today seemed to give room for speculation on a possible correlation.
Intrigued by this idea I compared the three in separate panes and on the weekly view starting July 2012.
Money supply has been steadily growing and with the "Corona crisis" just had an extra spike.
So then that leaves the point about maybe the Dollars strength influencing the value of Bitcoin.
While there may be some truth to that there is no long term connection.
In 2018 and 2019 the dollar grew stronger against the DXY basket currencies yet Bitcoin was able to rise from the ashes and also regain value.
Still on the gut feeling there just maybe something there to explore further.
Thanks #TradingShot
Note
The link to TradingShot's analysis 
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.