Dollar Impacting Bitcoin

Dollar Impacting Bitcoin…
Multi-Month Reversals Imminent;
June 5–9th (-11th) Cycles Prevail.

06/07/17 Weekly Re-Lay Alert – “The Dollar’s Wide-Ranging Impact (Bitcoin?)”:

“The Dollar Index remains negative and spiked to new intra-year lows during the 22nd week of this decline.  A low in the current (or next) week would complete 3 successive declines – since March 2015 – of almost identical duration (~5 months/~22 weeks), with the first two almost equal magnitude (~8.50/DX).

The monthly trend turned down on May 31st, confirming a 6–12 month peak (in Jan. 2017), setting the stage for an initial low & ushering in the time when a 1–3 month rebound is likely to take hold… AND indicating that another wave down should take hold after that 1–3 month bounce.

That also fits with the potential for the next multi-month peak to take hold in early-Sept. 2017 – the next phase of a 35–36 week/~8-month low-low-high-(high) CycleProgression (that followed a similar, 36-week rally).  If the Dollar sets its low on June 2–9th, that would also set the stage for a .618 rebound in time (22 weeks down/13 weeks up).

The first sign of a multi-week low would be a daily close above 97.07/DXU.  The Dollar could trigger a more convincing sign of a bottom IF it closed above [reserved for subscribers] on June 9th – generating a weekly 2 Close Reversal higher…

On a related note, the inverse correlation to the US Dollar has also been evident in various digital currencies in 2017.  When the Dollar was showing its first signs of a multi-month decline, Bitcoin, Ethereum & others entered a parabolic move higher.

More precisely, when the Dollar Index broke below its early-Feb. low on March 27th – and confirmed the unfolding of a ‘c’ or ‘3’ wave down – that is precisely when Bitcoin completed its previous correction (a ~30% pullback) and began its current, parabolic move higher.

When the Dollar Index subsequently confirmed that breakdown – with a lower close that waited until late-April – Bitcoin broke above its early-March peak and confirmed the onset of a new & larger impulse wave higher.

Finally, when the Dollar Index actually accelerated to the downside – beginning on May 15thBitcoin entered its sharpest advance, a ~5-day surge from ~1650 to ~2640… finally peaking (initially) when the Dollar Index began to bounce.  So…

It will be very interesting to see if those accelerated advances show signs of peaking if/when the Dollar shows signs of bottoming in the coming days (or weeks).  Though based on extremely limited data (and therefore less reliable than other technical analysis), some of those crypto-currencies portend a multi-week top in the current time frame.

Bitcoin set intra-month highs on Jan. 5–11th, Feb. 5–11th, March 5–11th, April 5–11th & May 5–11th, creating a noteworthy, ~30-degree high-high Cycle Progression that has just recurred on June 5–11th.  The potential for a high on June 5–11th was corroborated when Bitcoin spiked up to – and held – its weekly LHR(intra-week extreme upside target) on May 21–27th.  That signal projected a culminating spike high in the ensuing weeks, by mid-June.

With monthly resistance for June ranging from ~2940–3105 and this week’s Intra-week PLLR just being attacked (~2880), Bitcoin is at a decisive juncture based on intermediate price & time targets.”


Dollar poised for rebound from June 5–9th cycle low, after fulfilling downside wave objectives in time.  Multi-month rebound could follow.  Potential buy signal taking form.  Bitcoin (& Ethereum) expected to reverse lower, following June 5–11th cycle peak – ideally from peaks around 3,000 & 400.0, respectively.  July/August 2017holds intriguing potential for Bitcoin and other cryptocurrency.

See Weekly Re-Lay & INSIIDE Track for more specific expectations, targets & trading strategies.