📊💵 Do you know what the DXY is? Discover why it is important even for those investing in crypto!
The DXY, or Dollar Index, measures the strength of the US dollar against a group of strong currencies like the euro, yen, and pound.
📈 But why does this matter?
👉 When the DXY rises, the dollar is strong — investors flee from risk assets like stocks and cryptocurrencies.
👉 When the DXY falls, the dollar loses strength — investors seek alternatives like Bitcoin, gold, and stocks.
🔍 The DXY acts as a thermometer for the global market:
Increase in DXY = more risk aversion
Decrease in DXY = more risk appetite
💡 How to keep track?
You can search for “DXY” on TradingView or on sites like Investing.com to follow the movements and devise strategies.
📌 If you operate in the crypto market or are considering investing better, understanding the behavior of the DXY can help you anticipate movements of Bitcoin and other assets.
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