US Dollar Index Drops 8% Year-to-Date, Gold Surges 2.76%

This week, the US Dollar Index experienced its fourth consecutive weekly decline, reaching a three-year low of 99.4, marking an over 8% decrease year-to-date. The weakening of the dollar, coupled with inflation and trade policy uncertainties, has triggered a surge in market demand for safe-haven assets. Consequently, funds have been rapidly flowing into gold and non-dollar currencies. Gold prices surged by 2.76% this week, hitting a historical high of $3,357.68 per ounce. US stocks also faced pressure, with the Dow and Nasdaq experiencing weekly declines exceeding 2.6%. The Federal Reserve's statement of "no market rescue" further exacerbated market anxiety.

Under the dual pressure of a weakening dollar and a volatile stock market, the potential of cryptocurrencies as alternative safe-haven assets has once again come into focus. Analysts from Bitunix suggest that if gold continues to strengthen and the US Dollar Index remains weak, mainstream cryptocurrencies may see an influx of funds. The key short-term range for Bitcoin (BTC) is between $83,000 support and $86,000 resistance. According to the analyst's forecast, if BTC successfully breaks through the $86,000 resistance level, it could challenge the $90,000 psychological barrier and initiate a new uptrend.