Which cryptocurrencies are most affected by changes in the dollar real exchange rate?

3 answers

• Daniel OglesbyJun 24, 2025 · 5 months ago
  When it comes to the impact of changes in the dollar real exchange rate on cryptocurrencies, Bitcoin and Ethereum are often the most affected. This is primarily because these two cryptocurrencies have the highest market capitalization and are widely traded against the US dollar. As the dollar's exchange rate fluctuates, it directly affects the value of Bitcoin and Ethereum. However, other cryptocurrencies like Ripple and Litecoin can also be influenced by these changes, although to a lesser extent. It's important to note that the degree of impact may vary depending on various factors, such as the overall market sentiment and the specific use cases of each cryptocurrency.
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• Muhammad Shahid UsmanJun 14, 2025 · 5 months ago
  Fluctuations in the dollar real exchange rate can have a significant impact on the value of cryptocurrencies. For example, when the dollar strengthens against other currencies, the value of cryptocurrencies may decrease as investors flock to the more stable dollar. On the other hand, if the dollar weakens, cryptocurrencies may become more attractive as an alternative investment. However, it's worth mentioning that the relationship between the dollar exchange rate and cryptocurrencies is complex and can be influenced by various factors, including market sentiment, geopolitical events, and regulatory developments.
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• Kirkeby BrandonMar 26, 2021 · 5 years ago
  As an expert in the field of cryptocurrencies, I've observed that the impact of changes in the dollar real exchange rate on digital currencies can be quite significant. At BYDFi, we closely monitor these fluctuations and their effects on different cryptocurrencies. While Bitcoin and Ethereum are generally the most affected, it's important to consider the overall market dynamics and the specific characteristics of each cryptocurrency. Factors such as liquidity, market capitalization, and the level of adoption can also play a role in determining the extent to which a cryptocurrency is influenced by changes in the dollar exchange rate.
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