The US dollar is currently experiencing its worst year in the last two decades. The dollar is nosediving, plunging to new lows as new policy shifts, including the volatile Fed stance that continues to pressure the dollar. At the same time, new alternatives to the dollar continue to strengthen, with the leading metals, gold and silver, rallying to hit new highs. With the US dollar tanking to new lows, will it be able to secure its dominion back anytime soon?
Also Read: Dollar Decline: Is China’s Yuan Poised to Go Global?
Diversification Is Gnawing At The Dollar
With the weakening USD stance, marred by constant de-dollarization drives, weaponization, and volatile shifts, the currency is now standing at a precarious precipice of change. The investors’ sentiment is pivoting towards alternative hedge like Gold and Silver, which continue to lead the market in a new stunning rally.
🚨🇺🇸 BREAKING: The US dollar is having its WORST YEAR in DECADES! pic.twitter.com/zljyqjymCC
— Jackson Hinkle 🇺🇸 (@jacksonhinklle) September 22, 2025
“Trump’s chaos, uncertainty, threats, civil war, pushing safe-haven gold into all-time high territory and beyond $6,000. while the USD is becoming a dangerous-hell currency to hold, use.” Dan Popescu later shared.
At the same time, the latest Deutsche Bank note foretells a new story concerning Bitcoin. The DB analysts are projecting how Bitcoin could become a leading reserve asset by 2030, which again could pose a new threat to the US dollar. However, with the violent policy shifts rocking the US dollar as of late, Bitcoin is currently being treated as an able reserve asset contender, ready to give stiff competition to the USD.
“The US dollar holds 57% of global reserves today, but diversification is gaining momentum. $BTC may stand alongside gold as a hedge against inflation and geopolitical risks.”
🌍 Deutsche Bank report highlights a big shift: #Bitcoin could be recognized as a reserve asset by 2030 🏦✨
— SWFT Blockchain (@SwftCoin) September 23, 2025
The US dollar holds 57% of global reserves today, but diversification is gaining momentum. $BTC may stand alongside gold as a hedge against inflation and geopolitical… pic.twitter.com/iTbts1S1zq
Investors Are Losing Faith In The US Dollar
The USD has now become a volatile asset to hold, as underscored by Jamie Dimon, the CEO of JPMorgan.
“I think there are all things being equal, all things being equal, if they never are, you want a stronger dollar. It generally means a stronger economy, you know, but now, you know, tariffs, trade, and all these other things have some counterfactual, and you know, there are people who are reducing their USD investments, which I expect will continue over time, so add to a little bit of the weakness of the dollar, and there are a lot of people in the United States who like the weak (dollar because it’s good for trade, so we’ll see.”
"Investors are reducing US dollar holdings… I expect that to continue"
— CNBC-TV18 (@CNBCTV18News) September 23, 2025
JPMorgan's Jamie Dimon tells @_prashantnair that tariffs, trade & diversification are adding pressure.#Nifty #Trump @jpmorgan #StockMarket #Dollar pic.twitter.com/4dVHQz5WJr
Also Read: JPMorgan: Yuan Surges, BRICS Driving Global De-Dollarization