Cross Asset Compass 1

12 March 2023

• Bitcoin has been correcting strongly mainly due to the bounce in DXY—stronger USD – weaker bitcoin. As the high of the DXY bounce is getting closer, bitcoin is expected to bottom in what appears to be a wave 2 correction.

• The support could be at the current level or perhaps as low as 19200. A decisive break of 19200 will seriously question the bottom from November. This is not our main scenario, but it cannot be ruled out.

• DXY continued to bounce early in the week. It reached a high of around 105.8 before retracing late in the week and ending at 104.6. The entire correction of B (circle) is not necessarily over and done yet.