Bitcoin underperforms against US dollar amid recent rally, breaking pattern seen since 2015

Bitcoin has declined more sharply than the US dollar since May, a divergence that breaks from the playbook investors have relied on for years. BTC, which peaked near $97,860 in January 2026, has slid to approximately $63,000 as of early August, representing a year-to-date drawdown of roughly 25-31%. Meanwhile, the DXY, the index measuring dollar strength against a basket of major currencies, sat at 100.14 as of late July. In plain English: the dollar is holding its ground while Bitcoin is not. The numbers tell an uncomfortable story Bitcoin reached all-time highs above $126,000 back in October 2025, a level that felt like validation for an entire asset class. By January 2026, BTC was still trading near $97,860. By late May 2026, Bitcoin was bouncing between $73,105 and $81,046. That range might sound respectable in isolation, but it represented a steep fall from the January peak. By August 1, 2026, BTC had dropped to around $63,000, putting the total decline from its October 2025 all-time high at roughly 50%. The DXY holding above 100 is significant. A strong dollar typically creates headwinds for risk assets, and Bitcoin has behaved more like a risk asset than a safe haven in 2026...