Japan's potential emergency interest rate hike of up to 150 bps is sending shockwaves through global markets, and crypto traders are bracing for impact. Here's what to expect:

Risk assets may see sharp pullbacks: A sudden increase in interest rates could lead to a decline in risk appetite, causing investors to sell off assets like crypto.

Liquidity shifts fast: The move could trigger a rapid shift in liquidity, making it challenging for traders to enter or exit positions.

Volatility spikes: Expect increased market volatility as traders react to the news.

Leverage gets punished: Traders with leveraged positions may face significant losses if the market moves against them.

To navigate this environment, consider:

Spot-only positioning: Focus on spot trading to minimize risk.

Capital preservation first: Prioritize protecting your capital over making aggressive trades.

Selective momentum hunting: Look for opportunities to trade with momentum, but be cautious.

Patience over overexposure: Avoid overexposing yourself to risk and wait for clearer signals.

Some cryptocurrencies showing strength amid volatility include $PLANCK (+52%), $H (+43%), and $ARTX , which is holding firm.

Would you like to know more about the impact of Japan's interest rate hike on specific cryptocurrencies or how to adjust your trading strategy? #JapanRateHike #CryptoVolatility #tradingStrategy