After the huge fluctuation in the bitcoin price, which revolves around the $50,000 level recently, the bitcoin faced a drop below this level and the price reached $46,000 before the bitcoin rebounded and rose by 4% in the past 24 hours to trade at $49,030 At the time of writing this article, according to “coingecko”.

Mr. Joseph Young, a cryptocurrency analyst, believes that Bitcoin is dealing with caution based on the rise in the dollar, and this may lead to the unification of the price of Bitcoin and its movement with the rest of the financial markets in the short term, and he explained this by saying:

Bitcoin is in a cautious mode as the global macro is halting risk and pushing the dollar higher.

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Both the stock markets in the US and Asia are significantly lower.

We expect further consolidation with it in the short term.

The rise of the dollar is not good news for Bitcoin because the two are inversely related, as many analysts have made clear.

For example, with Bitcoin rising more than 295% in late 2020, the US Dollar Index (DXY) has fallen to a 32-month low.

Late last month, BTC plunged more than 20% in just one week as bond yields soared and risky assets exposed a global sell-off.

Now the top cryptocurrency has found itself in a similar trajectory this time around and if the dollar’s rally continues, the $37-$39K level could be the final bottom according to crypto trader Michael van de Poppe, who told Bitcoin bullishness is alive. If Bitcoin can hold above the $50,000 mark.

If it fails, the worst case scenario will lead to a decline to the level of 37-39 thousand dollars.

was analysis As follows:

The Bitcoin scenario unfolds here.

I suppose we will have to break the $50K barrier in order to maintain the bullish scenario.

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If bitcoin fails to hold the $50K level as support for an extended period of time, then I expect to test $42-44K and maybe $37-39K to the final bottom.

The current decline of Bitcoin was also associated with the fact that “Jerome Powell” Chairman of the Federal Reserve confirmed that the monetary strategy of the central bank regarding inflation will not change.

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Bitcoin price affected by Federal Reserve Chairman Jerome Powell’s comments

He indicated that the Fed would maintain its target of keeping inflation above the 2% target.

After its announcement, the bitcoin price fell, with the recovery back in the moment and trying to rise again above the $50K level.

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