While the US Dollar Index Weakens, Bitcoin Aims to Hold Above $27,000!

• It has been a dynamic Friday morning for the crypto market. Bitcoin (BTC) has seen a 2.4% increase in the last 24 hours, pushing its price above $27,000.
• On Thursday, the announcement that VanEck’s Ethereum futures ETF would be launched soon created bullish sentiments in the market.
• The US Dollar Index (DXY) fell for the second consecutive day, dropping by 1.13% from its annual peak of 106.8 points against other global reserve currencies.

As the US Dollar Index fell from its peak of 106.8 points, Bitcoin’s price gained momentum, now trading above $27,000!

US Dollar Weakens on Friday

It has been a dynamic Friday morning for the crypto market. Bitcoin (BTC) has seen a 2.4% increase in the last 24 hours, pushing its price above $27,000. Ethereum (ETH) has also experienced a 3.3% increase and gained support above $1,650.

According to Bitfinex analysts, several factors contributed to this bullish price surge, including the news of the Ethereum futures ETF, a 2% increase in the S&P 500 index, and approximately $80 million in short position liquidations in the past 24 hours.

On Thursday, the announcement that VanEck’s Ethereum futures ETF would be launched soon created bullish sentiments in the market. The weakness in the value of the dollar may have also contributed to these bullish trends.

The US Dollar Index (DXY) fell for the second consecutive day, dropping by 1.13% from its annual peak of 106.8 points against other global reserve currencies. Last year, the dollar maintained an inverse correlation with the stock and crypto markets when the US central bank began raising interest rates.

According to CoinGlass data, the liquidation of short positions in the futures market, totaling approximately $80 million, also contributed to buying pressure, with Bitcoin and Ethereum leading the way, according to Bitfinex analysts.

Altcoins are showing bullish movements

The rest of the crypto market, taking cues from the gains in Bitcoin and Ethereum, has generally experienced bullish gains. According to COINOTAG data, as of yesterday, the total crypto market capitalization increased by 2.2%, adding approximately $25 billion in value.

Sui Network (SUI) and PepeCoin (PEPE) led the market with double-digit gains of 12.6% and 10.8%, respectively, in terms of market capitalization.

ApeCoin (APE), Thorchain (RUNE), and Arbitrum (ARB) followed with gains ranging from 6% to 8% overnight.