A Bank of America survey from February reveals that investor bearish positions on the dollar have dropped to their lowest level since 2012, with dollar allocations at historically low levels. Traditionally, a weaker dollar benefits risk assets like Bitcoin. However, the report highlights an unusual positive correlation between Bitcoin and the dollar index since early 2025, with a 90-day correlation coefficient peaking at 0.60. Analysts suggest that if this correlation persists, further dollar declines may not benefit Bitcoin and could exert pressure on it. Conversely, a dollar rebound due to short covering might lead to a Bitcoin rise, potentially increasing market volatility.
BofA Survey: Dollar Bearish Positions at Lowest Since 2012, Impacting Bitcoin
Disclaimer: The content provided on Phemex News is for informational purposes only. We do not guarantee the quality, accuracy, or completeness of the information sourced from third-party articles. The content on this page does not constitute financial or investment advice. We strongly encourage you to conduct you own research and consult with a qualified financial advisor before making any investment decisions.
