Title: US dollar hits new 20-year high — 5 things to know in Bitcoin this week

Aug 29, 2022 05:40AM ET

By: AnalysisWatch

Bitcoin (BTC) heads into the first week of September on a rocky road downhill after United States markets’ Jackson Hole rout.

After the U.S. Federal Reserve reinforced hawkish comments on the inflation outlook, risk assets sold off across the board, and crypto is still reeling from the aftermath.

A fairly nonvolatile weekend did little to improve the mood, and BTC price action has returned to focus on areas below $20,000.

In so doing, multiple weeks of upside have effectively disappeared, and in turn, traders and analysts expect a retest of the macro lows seen in June this year.

While all is now quiet regarding the Fed until the September rate hike decision, there is still plenty of room for upset as geopolitical uncertainty and inflation persist, the latter still increasing in Europe.

However, as last week, Bitcoin appears fundamentally resilient as a network, with on-chain data telling a different story to price charts.

Cointelegraph takes a look at five factors to consider when wondering where BTC/USD may head in the coming days.

After a comparatively uneventful weekend trading period, the pair sold off considerably at the end of Aug. 28, resulting in the lowest weekly close since early July.

A $2,000 red weekly candle thus sealed a miserable August for bulls, this following an initial $3,000 of losses the week prior.