Dropping dollar pushes Bitcoin (momentarily) towards $90,000

Although the overall trend in the crypto market continues to be downward, the falling dollar helped the largest digital currency briefly rise back up to $90,000 yesterday.

Analysts believe that hopes for further interest rate cuts by the Federal Reserve in 2026 could push the dollar down to 1.20 against the euro (which would be very good news for Bitcoin).

After a strong rally in recent weeks, gold, silver, and copper are again under pressure from sellers. Platinum and palladium are falling even more sharply.

Geopolitics

There’s little directional news to be had in these final days of the year. Bitcoin will likely close out the year with a price between $85,000 and $90,000. That seems incredibly high, but considering we were trading at $125,000 just two months ago, this is a significant drop.

Bitcoin could still move due to the Fed (although it doesn’t seem very logical for them to make any concessions before the end of the year) or a peace agreement between Ukraine and Russia (although that doesn’t seem likely to happen either).

At the time of writing, Bitcoin is trading at $87,200.

The best cryptocurrency of the past year was the privacy coin ZCash, with a rise of over 800%.