According to analysts, the US dollar experienced a decline in response to the increase in US unemployment claims, which had a positive impact on Bitcoin and stock markets.
Data from TradingView shows that the US Dollar Index (DXY), which measures the dollar's performance against major global currencies, fell 0.45% to 105.25 from Thursday's high of 105.73.
By contrast, the S&P 500 traded within 1% of its record high following the release of US unemployment figures.
“US rates appear to have peaked on April 30 at minus 20 basis points for the US two-year yield, with DXY falling 1% to price in lower growth and Bitcoin rising 8% since then,” said Aurelie Barthere, Principal Research Analyst at Nansen.ai. .
Francesco Pesole, FX strategist at ING Bank, said in a note today that “the dollar's negative reaction to yesterday's modest increase in US jobless claims has left the generally overbought dollar quite vulnerable even to slightly softer US data.” “He may be buying into the employment market discourse more strongly,” he said.
According to the analyst, this shows that the current economic environment may continue to support Bitcoin and other cryptocurrencies.
*This is not investment advice.
