Dollar Index (DXY) moves in a long-term inverse relationship with BTC.
It's not something to check every week or month — the real value comes from analyzing the bigger multi-year cycles.
DXY pumped hard from late 2021 through the end of 2022 (red box) — exactly when BTC was in a deep bear market.
Since DXY peaked, BTC has rallied strongly. Over the last 10 months, DXY has been repeatedly trying (but failing) to break above the prior support zone (orange strip). During this same period, BTC has faced pressure.
There has been no decisive upside breakout in DXY so far — which remains constructive for BTC and the broader crypto market.