The new role of Bitcoin under the macroeconomy: The fall of DXY drives the pump of BTC, breaking away from the correlation with traditional bond yields.

On June 15, data analyst Darkfost released a market analysis saying that macroeconomics has become the dominant narrative in today's cryptocurrency market. As a result, key indicators such as the US Dollar Index (DXY) and US Treasury yields are now closely watched by investors, reflecting institutional sentiment and the overall state of global liquidity. When DXY and bond yields rise at the same time, capital tends to be withdrawn from risky assets. In this environment, Bitcoin usually experiences a pullback. Historically, bear markets in cryptocurrencies have tended to coincide with strong uptrends in yields and DXY.

On the contrary, when the DXY and yields lose momentum, investors' risk appetite shifts towards risk assets. These periods are often associated with monetary easing or market expectations of rate cuts by the Federal Reserve, thus driving bullish sentiment in the crypto market. Notably in the current cycle is the unusual decoupling between Bitcoin and bond yields. Despite yields reaching one of the highest levels in Bitcoin's history, Bitcoin continues to maintain an upward trend, especially accelerating during DXY declines. This anomaly suggests that Bitcoin's role in the macroeconomic landscape has undergone a structural shift, with Bitcoin increasingly viewed as a store of value. This new narrative may be redefining how Bitcoin responds to traditional macroeconomic forces.