Bitcoin (BTC) drifted down the slope to the Wall Street open on June 30 as US stocks opened with a moan.
BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView
The US dollar is back to its highest level in several decades
It followed data from Cointelegraph Markets Pro and TradingView as BTC/USD shed $19,000 to reach its lowest level in more than ten days.
Bulls failed to hold $20,000 or $19,000 on the hands of faltering US stock market moves, and the S&P 500 and Nasdaq Composite are down 1.8% and 2.6%, respectively, at the time of writing.
At the same time, the US dollar is back again to fix a path towards twenty-year highs this quarter.
The US Dollar Index (DXY) was above 105.1 on the day, just 0.2 points off its highest since 2002.
US Dollar Index (DXY) 1-day candlestick chart. Source: TradingView
Researcher and trader Faisal Khan summed up on Twitter: “The US Dollar (DXY) appears poised to test the highs last seen in December 2002 as the short-term downtrend was convincingly broken amid the continuing meltdown of risk markets.”
Meanwhile, inflation data once again suggested that the worst could be behind the market.
However, as Cointelegraph reported, central banks are beginning to acknowledge that the low rates seen before COVID-19 may never return.
Worst month for bulls in 11 years
With the majority of on-chain metrics now at historic lows, price data hinted at how far BTC could theoretically go into a bear market, increasingly unlike the rest.
Related: No flexibility for Bitcoin Cash users as BCH loses 98% against Bitcoin
If it closes at the current levels of $19,000, BTC/USD will seal a monthly loss of over 40% in June 2022.
This would make it the worst June on record and the biggest monthly loss since September 2011, data from TradingView and on-chain watch resource Coinglass confirm.
Until March 2020 and the 2018 and 2014 bear markets were less severe on the monthly time frames. A drop of forty percent was last seen when BTC/USD was trading at $8.
BTC/USD monthly returns chart. Source: Coinglass
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