Bitcoin is poised to record its fifth consecutive weekly loss, a significant milestone that would represent the first such downturn since the period from March to May 2022, during which bitcoin experienced a nine-week decline. As of Thursday Asia time, the largest cryptocurrency by market cap has seen a decline of approximately 3% this week, dipping below $67,000, based on market data, which puts it at risk for another weekly red close.
Macro pressures are intensifying the existing technical weakness. It is reported that the U.S. has gathered its most significant air power presence in the Middle East since the 2003 invasion of Iraq. As Washington gears up for potential military action against Iran, President Donald Trump remains undecided. Meanwhile, bettors on Polymarket are estimating a 27% likelihood that strikes will take place by the month’s end.
The dollar index has surged to 97.7, marking its highest point since February 6, amid ongoing geopolitical uncertainty. Meanwhile, WTI crude oil has risen to $65, bouncing back from a low of $62 recorded on Wednesday. The strengthening dollar and increasing oil prices generally exert pressure on risk assets, presenting further challenges for bitcoin and solidifying a bearish weekly close. Bitcoin has experienced a drop exceeding 50% from its all-time high in October, which was close to $126,500, reaching lows around $60,000.
Bitcoin has experienced five consecutive monthly declines since October, marking the second-longest losing streak in its history, only eclipsed by the six-month downturn from 2018 to 2019. Bitcoin has experienced a decline against gold for seven consecutive months, marking its longest period of underperformance in this comparison.