Dollar Rally Resumes, Gold and Crypto Under Pressure as USD/JPY Targets Key Level

The US dollar has resumed its upward trajectory, placing renewed downward pressure on gold prices and the broader cryptocurrency market.

The dollar's strength is primarily fueled by a combination of robust US economic data and a hawkish stance from the Federal Reserve. Recent employment figures and inflation reports have exceeded expectations, reducing the likelihood of near-term interest rate cuts.

This divergence in monetary policy outlook between the US and other major economies, particularly Japan and Switzerland, is driving the currency moves. The USD/JPY pair is approaching the psychologically significant 165 level, a point that has historically prompted intervention warnings from Japanese authorities.