Bitcoin Falls Below $61,000 as US Dollar Strength Weighs On Market

Bitcoin's price briefly dipped below $61,000, underscoring its recent weakness in the market. According to Markus Thielen of 10x Research, this is largely due to the strength of the U.S. dollar, which is putting downward pressure on Bitcoin.

Thielen expects the token could bottom near $55,000, and says it may take until August or October for the cryptocurrency to reach its low point. This assessment is based on historical patterns in the market, including a tendency for Bitcoin to weaken in September before rebounding in October.

The forecast also takes into account other potential factors that could impact the price of Bitcoin, such as the U.S. midterm elections and the Treasury's quarterly refunding plan. In the short term, analysts predict a decline to $58,000 if the $60,255 support level is breached, but a rebound to $63,300 if it holds.

The overall trend for Bitcoin remains weak, with the token trading below its 50-day and 200-day moving averages. However, some market watchers believe that bearish news could be a short-term headwind, rather than a long-term sign of weakness. If Bitcoin does hold onto $55,000, a recovery to $71,000 is possible; if it fails, the token may re-enter the $50,000 range.