๐จJapan is ready to shake the marketโฆ Let me explain how ๐ฏ๐ต
This is an important macro event, so understand the logic step by step ๐๐๐
The Bank of Japan is expected to raise interest rates by 0.25%.
Japan is also one of the largest holders of U.S. Treasury bonds.
When Japan raises interest rates, money may start to flow back to Japan instead of staying in global markets, which leads to a decrease in liquidity.
When liquidity decreases, high-risk assets are the first to feel the pressure, and Bitcoin is classified within this category.
Therefore, as liquidity leaves the market, the price of Bitcoin may also decrease. This is why this event is very important for traders.
Now let's look at the history and not opinions:
Every time the Bank of Japan has recently raised interest rates, Bitcoin reacted strongly:
March 2024 โ Bitcoin dropped by about 23%
July 2024 โ Bitcoin dropped by about 26%
January 2025 โ Bitcoin dropped by about 31%
Does this guarantee the same scenario will repeat? No.
Markets do not literally repeat themselves.
But one thing is very clear:
This event has a strong history of shaking Bitcoin.
If sellers take control again, Bitcoin could easily drop to $70,000 ๐ซ๐ซ
This is why timing and analysis are very important ๐๐
