source avatarMr. Bash 🥷

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🧵 There's something funny about crypto, We talk about Bitcoin like it's completely separate from traditional finance. Then the dollar moves... And suddenly everyone starts paying attention. Here's why the dollar matters to crypto. 🚀@trylimitless 🧵Most crypto prices are quoted in dollars. So when we say: Bitcoin is at $100K we're really talking about Bitcoin's value relative to the dollar. That relationship matters more than it looks. 🧵Now imagine the dollar becomes stronger. For people holding other currencies, buying dollar-priced assets can become more expensive. And when financial conditions tighten, investors can become more selective about risky assets. Crypto can feel that pressure. 🧵 Then there's liquidity, The global financial system doesn't operate independently. Money moves between cash, bonds, stocks, commodities and crypto depending on what investors think offers the best opportunity. Crypto competes for that capital. 🧵This is why you'll sometimes see Bitcoin struggling even when nothing dramatic happened inside crypto itself. Maybe the issue isn't a protocol hack. Maybe it isn't a whale dumping. Maybe the bigger story is happening in currencies, bonds or macroeconomic data. 🧵And here's where things get interesting. Bitcoin was created as an alternative financial asset. Yet its market is still deeply connected to the traditional financial system. That's not necessarily a contradiction. It's simply how markets work. 🧵So the next time you see Bitcoin moving sharply, don't only ask: Who is selling? Ask: What is happening with the dollar?” What are interest rates doing? Where is liquidity going? What changed in the broader market? Sometimes the answer is hiding outside the crypto chart. 🧵The more I learn about crypto, the more I realize: Understanding Bitcoin isn't only about understanding blockchain. You also need to understand money. And the dollar is still one of the biggest pieces of that puzzle. @trylimitlessfin

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