Forget Elon, here's why Bitcoin traders should be watching the US Dollar Index instead

(BTC) prices fell by almost 5% on June 4, continuing the decline into the Friday session as investors grappled with Elon Musk's cryptic tweets on the cryptocurrency, raising speculation that the Tesla (NASDAQ:) CEO might dump the firm's remaining 43,2000 BTC stash.

Nonetheless, Bitcoin's move downside also coincided with a big spike in the (DXY), raising speculation that more than one factor accelerated the cryptocurrency's dramatic plunge during the late Thursday and early Friday session.

Bitcoin's drop after Musk's tweet also coincided with a rebound in the US dollar index market. Source: TradingView
Month-by-month U.S. public debt since April 2020. Source: Statista
Bitcoin and U.S. dollar index negative correlation intact since March 2020. Source: TradingView