The correlation of Bitcoin (BTC) and Ethereum (ETH) with the US Dollar Index (DXY) has turned negative once again. Bitcoin’s correlation coefficient with DXY dropped to -0.36 after climbing as high as 0.84 on November 19.
Correlation coefficients measure the relationship between two entities and range from 1 to -1. The first implies a direct pricing relationship between assets, while the second indicates an inverse relationship. BTC has been in a consistently inverse relationship with DXY since July before moving into positive territory on November 9.
In August, the correlation between the two assets dropped to -0.94. The timing of the reversal coincides with market turmoil related to FTX. Because the change in the pricing relationship took place on the day that Binance and FTX’s tentative agreement broke down.
Kaynak: https://etfdb.com/crypto-channel/fed-pivot-could-bolster-dam-dapp/
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