Crypto News: Bitcoin Traders Eye $80K Short-Term Target as DXY Hits New Highs

Bitcoin’s (BTC) price continues to slide, hitting new lows for 2025, as the U.S. Dollar Index (DXY) rallies to levels not seen since November 2022. Rising Treasury yields and concerns over the Federal Reserve’s monetary policy have forced analysts to revise their short-term Bitcoin price targets.Why Is Bitcoin Falling?DXY Strength and Treasury Yields Impact CryptoThe DXY, which started the week with a 0.92% decline, reversed course sharply, reaching 109.37. This resurgence reflects investor concerns over inflation and anticipated economic policies under President-elect Donald Trump, which are expected to expand deficits and boost growth while potentially increasing long-term debt.Additionally, U.S. Treasury yields have surged, with the 10-year note topping 4.7% and the 30-year note reaching 4.93%. These rising yields have contributed to a stronger dollar, increasing selling pressure on Bitcoin and other cryptocurrencies.Market Reactions and Key LevelsBitcoin (BTC) slipped to an intra-day low of $92,500, with analysts warning of further declines if the $90,000 support fails to hold. According to Burkan Beyli, co-founder of Biyond, a weekly close below $95,180 could open the door for Bitcoin to fall to $81,000 within the next five weeks.“If Bitcoin falls under $94K, then the next target is $81K. CPI data next week might solidify the bears’ position, but I expect a bullish reversal once DXY corrects after Trump takes office,” Beyli told Cointelegraph.Real Vision’s chief crypto analyst Jamie Coutts shared a similar outlook, stating that DXY’s recent strength is less concerning than the anticipated liquidity expansion and pro-crypto policies expected under the incoming administration.Will Bitcoin Recover?While the short-term outlook for Bitcoin appears bearish, analysts are optimistic about a strong rebound in the medium term. Many expect the strengthening dollar and rising yields to lose momentum once the market adjusts to the new economic environment.Key support levels remain at $90,000, while a break below this level could trigger further downside to $81,000. Conversely, a weekly close above $95,180 might signal a reversal, according to Cointelegraph.Related News:Bitcoin News Today: Is Bitcoin Price Headed for Another Crash?Bitcoin Whales Accumulate 34K BTC After December Sell-Off: Analyst Oklahoma Senator Introduces Bitcoin Freedom Act for BTC Payments