In June 2026, the USD Index (<a>t-17</a>) broke through the 101 level, hitting a new high since May 2025. The main driver is the hawkish pivot in the Fed's policy: at the June FOMC meeting, 9 out of 19 officials expected at least one rate hike before the end of the year (up from zero in March), and market bets on rate increases this year are heating up fast. Meanwhile, US economic data is showing resilience, and with non-USD currencies collectively weakening, the dollar is being pushed higher.
The pressure on Bitcoin is continuing to intensify. Over the past year, the daily correlation coefficient between the DXY and Bitcoin has been as low as -0.72—meaning the stronger the dollar gets, the harder it is for Bitcoin to make a comeback.