Stocks have seen a huge drop in the last week, one of the strongest decline recorded in history. This made the dollar incredibly attractive for investor pulling out of their positions. Not surprisingly, the dollar is now flirting with levels last seen in April of this year. According to a well known analyst, Sven Henrich, several factors are to be taken into account for this collapse. While he appeared on famous financial shows (on CNN and CNBC), he lays out the following circumstances:

• Increasing unpredictability of the US election.
• A natural reversal from extremely high valuations.
• The conclusion of a sharp V recovery that was way too easy.
• Decreasing probability of another stimulus bill - politically unfeasible.
• Potential new lockdowns due to Covid-19 in Spain, the UK, and France.

What will this mean for crypto? As we have seen a heavy correction on Gold which cryptocurrencies tend to follow, will this be a red month? Feel free to discuss and share your thoughts!