The US dollar’s weakness offered a boost to emerging-market currencies and oil.
Crypto goes up
The bullish optimism in the crypto market continues. At the moment, Bitcoin is testing the resistance at $8,730. A successful break of this level will help bulls to test the next resistance at $9,075. However, according to oscillators, the bullish pressure is at risk. RSI has entered the overbought zone. At the same time, there is a bearish divergence with the Awesome oscillator and volumes. It may signal a possible reversal. The return of the bearish pressure will pull the digital asset back to the support at $8,246.
Poor US data, slow vaccine distribution, rising virus cases worsened the market sentiment and underpinned safe-haven currencies like the USD, and JPY.
The European Central Bank will publish the monetary policy statement with the interest rate decision on January 21, at 14:45 MT time.
Joe Biden is going to unveil a Covid-19 relief package of about $2 trillion. After this announcement, the 10-year Treasury yield rose, adding support for the USD.