Wall Street fears lower dollar just as Bitcoin tests support line

A very positive month of May ending with a gain of 11% for Bitcoin, which is starting the summer in a good mood. Geopolitical developments are quite good and a recent report from Bank of America expecting a further decline of the dollar are all positive signs for the largest digital currency.

Euro

The big winner of the global trade war seems to be the Euro for now (and Bitcoin of course, which is already positive for the year). According to some major banks on Wall Street, the dollar will continue to fall during the summer months, to a level that we saw at the beginning of the Covid-19 pandemic. Analysts at JP Morgan even think, like Morgan Stanley by the way, that the Euro Dollar rate will fall to a level of $1.25 dollar per euro by the end of the year. That would be very good news for goods that are quoted in dollars of course, such as gold, Bitcoin and oil, as those goods will then become cheaper for investors outside the United States.

Bitcoin itself, meanwhile, seems to be retesting its support line around $100,000 and needs to stay above it in the coming days to have a chance of setting a new record this month.

June is normally a mediocre month for Bitcoin. In the last six years, we have seen advances in 2019 and 2023 while we have seen declines in 2020, 2021, 2022 and 2024.