Bitcoin and select altcoins have not ceded much ground to the bears, indicating that buyers are not rushing to the exit.
The United States equities markets continued their strong performance last week. According to Bespoke, the S&P 500 Index (SPX) and the Nasdaq 100 have risen for nine consecutive weeks, the best performance in unison since 1985 when they had an 11-week win streak. In 2023, the SPX ended with more than 24% gains, indicating that bulls remain firmly in command.
In contrast, the U. S. dollar index (DXY) fell about 2% in 2023, its first yearly loss since 2020. Slowing inflation and the forecast of a 75 basis point rate cut by the Federal Reserve in 2024 have kept the dollar index under pressure.
The increasing risk appetite of investors and a host of crypto-specific positives boosted Bitcoin (BTC) by 155% in 2023. In the near future, two events hold the key to continuing Bitcoin's rally. First will be the regulator’s ruling on the spot Bitcoin exchange-traded fund applications expected in the next few days, and the second will be Bitcoin’s halving in April.
