US Dollar Reaches New 20-Year High as Bitcoin Price Falls 2.7%

There seems to be no stopping the greenback as risk assets including Bitcoin pay the price for renewed strength .

Market Update

Bitcoin (BTC) faced familiar pressure at the opening of Wall Street on September 1, as the US dollar hit new two-decade highs.

BTC/USD 1-Hour Candle Chart ( Bitstamp). Source: TradingView

Trader: DXY May Hit 115 Ahead of 'Slowdown'

Data from Cointelegraph Markets Pro and TradingView followed BTC/USD, falling to $19,658 on Bitstamp, down 2.7% from the day's high.

The pair faced strong resistance as it tried to tip the all-important $20,000 mark towards solid support, with macro signals further complicating the situation for bulls.

This came in the form of a surging US Dollar Index (DXY) on the day, which broke previous highs to hit 109.97, its highest since September 2002.

United States Dollar Index (DXY) one-day candle chart. Source: TradingView

Risk assets have therefore largely lost ground, with the S&P 500 and Nasdaq Composite indices trading down 1% and 2% respectively at the time of writing.

"DXY with another strong day," summed up popular crypto trading account Kaleo on Twitter.

"Honestly, I don't see any signs of slowing down to ~114/115, which at this rate should take at least two months."

Other commentators, including crypto account TXMC Trades,