Weak Dollar Does Not Boost Bitcoin Gains

Important Announcement from JPMorgan

Bitcoin has unusually not gained value alongside the decline of the U.S. dollar. According to JPMorgan strategists, the weakness of the dollar is shaped by short-term flows and market sentiment, rather than changes in growth or monetary policy expectations.

The strategists expect stabilization in the dollar, which they emphasize will occur as the U.S. economy strengthens. Currently, markets do not perceive the ongoing dollar decline as a permanent macro change. This situation leads to Bitcoin being treated more as a liquidity-sensitive risk asset rather than a reliable hedge against the dollar.

Among those benefiting from the weakening U.S. dollar are gold and emerging markets.