The decision of the Bank of Japan triggered huge emotions in the market, and cryptocurrency is once again in the spotlight of investors. Jake Molter calms and explains why volatility is an opportunity, not a threat. In his opinion, the fundamentals of XRP remain strong despite short-term pressure.
The crypto market often reacts violently to central bank decisions, but the long-term picture can be completely different.
Decision of the Bank of Japan and the market's initial reaction
Jake Molter in a video on the Molt Media channel pointed out the decision of the Bank of Japan to raise interest rates. The bank raised the interest rate by 25 basis points to 0.75%, the highest since 1995. This move immediately increased volatility in the market for risky assets.
Molter recalled previous market reactions to similar decisions by the Bank of Japan. After the rate hike on July 31, 2024, Bitcoin fell by 26% over 8 days. Meanwhile, after the decision on January 24, 2025, the decline was 25% in 20 days.
However, the influencer emphasized that each such movement ended with a strong rebound. After previous declines, the market returned to growth and established new ATH. Therefore, the current downward pressure is not surprising to him.
Volatility, emotions, and behavior of the crypto market
On the day of the Bank of Japan's decision, the market was exceptionally nervous. In the morning, $60 million in shorts were liquidated in just 30 minutes. Shortly thereafter, the market cleared $150 million in longs in the next 30 minutes.
Molter explained that such movements show the emotionality of market participants. Traders try to anticipate news, narratives, and investor fear. In the speculative crypto environment, reactions are strongly amplified.
Any rumor, headline, or slight deviation from expectations can trigger sharp price movements. At the same time, the fundamentals of projects do not change in a single day. It is this difference that creates opportunities for patient investors.
In practice, Molter draws attention to several key elements:
central bank decisions trigger short-term volatility,
market emotions often lead to exaggerated reactions,
the fundamentals of projects remain stable despite price fluctuations.
Does such volatility pose a threat to long-term investors? Molter believes it does not. In his opinion, it is a natural element of the market that rewards patience.
Why cryptocurrency XRP remains key according to Molter
Jake Molter clearly stated his approach to potential declines after the Bank of Japan's decision:
"If we see a significant dip after the Bank of Japan's rate decision, I want to be very clear: I will be a buyer. I will be an aggressive buyer at these levels. Not because I trade headlines, but because I understand what I hold in XRP, and I know many of you do too. […] Short-term volatility does not erase years of development. […] When we see volatility, I am ready, because emotions pass, and fundamentals do not."
In the following minutes of the recording, Molter emphasized that cryptocurrency XRP is not a memecoin. The project serves as infrastructure for liquidity settlements and real-world finance on a global scale. Its value comes from speed, efficiency, and cost reduction.
Ripple is consistently building its position in the traditional financial system. The company works with regulators and politicians rather than fighting against them. Meetings with Senator Tim Scott, Coinbase, and A16Z demonstrate commitment to regulatory market work.
Molter also pointed out the execution of the Ripple project. While other teams focus on price narratives, Ripple develops real applications. XRP remains a key liquidity asset, and RLUSD expands regulatory-compliant settlement capabilities.
Is it worth reacting to market panic? Molter believes that the best opportunities arise when fear peaks. Markets often 'punish' short-term patience before regulatory and fundamental clarity emerges.
Finally, the influencer emphasized that the world is moving towards global liquidity and scalable financial systems. Ripple is at the center of this process, and XRP remains one of the key beneficiaries of this transformation.
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