Analyst calls current macroeconomic situation ideal for bitcoin growth

CryptoQuant contributor Darkfost said that bitcoin is entering a “very favorable” macroeconomic period. The analyst focused on the US Dollar Index (DXY), which, according to his data, is trading 6.5 points below its 200-day moving average. This is the largest deviation in the last 21 years, he emphasized.

A decline in the DXY usually indicates a waning interest in the dollar as a protective asset, which historically favors risk assets, including cryptocurrencies. “When the dollar loses strength, investors start looking for alternative ways to preserve capital value,” the analyst said.

According to Darkfost, the charts show that periods of DXY trading below the 365-day average coincide with positive phases for bitcoin. That said, the current BTC price has yet to reflect this potential upside, which may indicate an early stage of market movement.

The researcher added that such macro signals provide an opportunity to assess the inflow of liquidity and the beginning of the trend not through technical indicators, but through macroeconomic shifts in the distribution of capital. Against the backdrop of the historical peak in US government debt and a weak dollar, such signals are particularly important, he emphasized.