Positive news today for the price of Bitcoin

Today, finally, there is positive news regarding the price of Bitcoin.

A couple of weeks ago, in fact, the price of BTC was above $115,000, but then a correction began that might have ended yesterday. 

Although it seems that some news released yesterday triggered today’s bounce in Bitcoin’s price, in reality, there had already been an implicit and underlying trend for days suggesting a possible rebound. 

Today’s Positive News for Bitcoin Price

The main news that triggered the rebound is the fact that the US Senate has reached an agreement to end the government shutdown that has been ongoing for several weeks. 

It is worth noting, however, that last week there was a rather significant election in the USA, which saw the Democrats triumph over Trump’s Republicans. 

Last night, the agreement was reached thanks to eight Democratic senators who voted in favor of the Republican proposal to end the shutdown. 

Once last week’s election round concluded, a slight softening of the Democrats’ stance was anticipated, and indeed it occurred, even though only eight Democratic senators approved the agreement. However, they are sufficient to ensure that the proposal can be approved. 

The shutdown thus seems to be on the verge of ending, but in truth, last night’s rebound of Bitcoin appears to be more influenced by the Chinese markets than the US ones.

It is therefore likely that the news has had an international impact, and that perhaps the negative trend of the past few weeks has ended in the global financial markets. 

The other positive news regarding Bitcoin is the decline of the Dollar Index.

The Weakening of the Dollar

In fact, a drop in the Dollar Index had been anticipated for days, but it was believed that it might occur only between the end of this week and the beginning of the next. 

The point is that until a few days ago it was believed that the shutdown could end around the beginning of next week, but instead, the news of the agreement came last night. 

The US dollar weakened significantly from January to June. 

From July to October, it moved little, but between the end of October and the beginning of November, it slightly strengthened, especially against the Japanese yen and the euro.  

The Dollar Index obviously followed a similar trend, and since in the medium term the price trend of Bitcoin tends to be inversely correlated with that of DXY, this dynamic allowed BTC to rise, marking new all-time highs both in August and October. 

However, when the Dollar Index began to rise again at the end of October, the price of Bitcoin underwent a significant correction, although this trend might have ended yesterday. 

The Bitcoin Correction

Already on October 9, a slight rise in the Dollar Index, up to 99.5 points, had interrupted Bitcoin’s bull run, causing it to drop from its all-time highs to around $110,000.

However, the first attempt at a rebound by DXY failed, initially dropping just below 99 points and then precisely returning to 99 points. 

The price of BTC at that point managed to climb back up to $115,000, but from the end of the month, things changed. 

On October 29, the latest rebound of the Dollar Index began, and almost simultaneously, Bitcoin’s correction started. 

The peak of this trend was reached last week, between November 4th and 5th, when Bitcoin first briefly fell below $100,000, and then the DXY hit a peak above 100.3 points. 

To be honest, the very next day DXY had already started to correct, but the price of Bitcoin at that time had not risen. It should be noted that the inverse correlation with DXY in the short term may not work, while it generally works especially in the medium term. 

It is noteworthy that the correction of the Dollar Index is still ongoing today, with a decline down to 99.5 points, and it could continue in the coming days or weeks. 

The Forecasts

The rebound in Bitcoin’s price last night appears to be a delayed reaction to the correction of the Dollar Index. 

The point is that when DXY was at 99.5 points, at the end of October, the price of BTC was around $110,000, therefore it is not certain that Bitcoin’s rebound has ended. 

In fact, since last night’s movement was likely driven primarily by the Chinese markets, it might continue with the reopening of the US markets. 

Additionally, it should be noted that the trend of the Dollar Index in this 2025 closely resembles that of 2017, which was the first year of Donald Trump in the White House. 

At the time, about ten days after the November elections, the Dollar Index began a strong correction that lasted almost three months, causing it to drop significantly. Simultaneously, a mega speculative bubble inflated on the price of Bitcoin, which, however, burst by mid-December. 

If this year DXY were to follow a similar path, one could expect a possible new bullrun of BTC in the coming weeks, perhaps also followed by a new speculative bubble. 

It should be noted, however, that as of today there is still no certainty that this could happen.