Dollar Weakness Fuels Hard Asset Rally: Bitcoin Surges to New Heights

The US dollar index (DXY) fell below its 200-day moving average for the first time in over three months, dropping to 98.78 as Bitcoin posted its strongest weekly rally since March 2024.

Galaxy Digital analysts Alex Thorn and Beimnet Abebe argued that the Treasury's buyback expansion was effectively yield curve control, which they believe signals sustained dollar weakness.

Thorn called the rally a 'hard asset story' as gold, silver, and Bitcoin surged while the Nasdaq stayed flat. He noted that the market had flipped from a 'sell rips' to a 'buy dips' regime.

Galaxy analysts believe Bitcoin's four-year cycle bottom was likely in place, arriving slightly ahead of the September-October window that previous cycle analogy would suggest.