Dollar Index Nears Breakout as Bitcoin Trades Under Pressure

The U.S. Dollar Index is close to a decisive breakout from a 13-month trading range, a move CoinDesk said could add pressure to bitcoin. Bitcoin was trading near $63,900 and had fallen nearly 1% since midnight UTC, marking a third straight day of weakness.

The development matters because bitcoin and the dollar have recently been moving in opposite directions. CoinDesk reported that bitcoin’s 90-day correlation coefficient with the Dollar Index was recently minus 0.82, underscoring how a stronger greenback can coincide with weaker conditions for BTC.

The Dollar Index, which tracks the U.S. currency against major fiat currencies, rose 0.26% to 100.66 after gaining 0.8% on Wednesday. CoinDesk noted that the index was trading above 100.60, a level where sellers had repeatedly capped gains since May 2025.

A sustained break above that range could encourage momentum buying in the dollar, according to the report. That setup would be important for crypto traders because dollar-denominated assets such as bitcoin often face pressure when the U.S. currency strengthens.

CoinDesk linked the dollar’s rise to the Federal Reserve’s hawkish tone on Wednesday, which raised concerns that U.S. interest rates could rise. If the dollar continues to gain, the report said bitcoin may remain under pressure and could potentially revisit its 200-week simple moving average at $62,258.