FadeIntoGreen

For years, global markets ran on a hidden subsidy.
Borrow yen at almost nothing.
Buy everything else.
That subsidy is ending.
Japan is no longer the world’s piggy bank.
Rates are rising.
Assets are being sold.
Liquidity is no longer guaranteed.
What most people miss
This isn’t about a single hike.
It’s about a role change.
The Bank of Japan spent decades absorbing risk.
Now it’s releasing it back into the market.
That shift changes how leverage behaves.
History gives clues Each BOJ tightening cycle has coincided with sharp risk drawdowns
Not because Japan “controls” markets
but because cheap funding disappears.
Leverage doesn’t negotiate.
It exits.
Japan holds – Massive equity exposure
The largest foreign US Treasury stack
The longest duration bonds on the planet
When funding costs rise, someone has to sell.
Watch the currency USD/JPY isn’t just FX noise.
It’s the pressure gauge.
150 = stress
145 = forced deleveraging
Lower = systemic reactions
December 19, 2025 Not a black swan.
A confirmation that the era changed.
No more infinite buyer.
No more free carry.
No more silent support.
Markets must stand on their own balance sheets again
That’s the real risk.
#liquidity #Japan

The Bank of Japan (BoJ) is preparing for a landmark policy shift. From January 2026, it plans to slowly unwind its enormous ETF holdings valued at nearly 83 trillion yen ($534B) just as Japan gears up for its most meaningful rate hike in decades. Global markets, including crypto are paying attention.
A Long, Controlled Unwind Rather than a sudden dump, the BoJ aims for a cautious exit, selling roughly 330 billion yen per year. While this stretches the process over many years, the symbolism matters: a major central bank is reversing one of the most aggressive stimulus experiments in modern history.
Given BoJ’s oversized role in Japanese equities, even a gradual withdrawal signals tighter global liquidity ahead.
Rates Are Rising Carry Trades Are Breaking Markets expect a 25 bps rate hike at the December 18 – 19 meeting, pushing rates toward levels not seen since the early 2000s. For years, cheap yen fueled carry trades into higher risk assets including crypto. That era is ending.
As Japanese yields rise, borrowing yen becomes less attractive, forcing leverage to unwind across global markets.
Bitcoin Under Quiet Pressure Bitcoin has already slipped below $90,000, trading near $89.7K. The move isn’t panic driven much of this shift was anticipated but the underlying pressure remains. Reduced leverage and tightening liquidity rarely favor risk assets.
A Tale of Two ETF Worlds While Japan steps back from ETFs, Bitcoin ETFs in the U.S continue gaining adoption. This contrast highlights a broader transition liquidity is shifting regions, not disappearing but the adjustment phase may be painful.
Bottom Line BoJ’s ETF exit and rate hikes mark a structural change, not a short term headline. For crypto, 2026 may reward resilience over speculation.
#BankOfJapan #ETFs #liquidity

THE PATTERN WE KEEP SEEING
Every Bitcoin halving reduces supply, but the real price reaction takes time. Historically, markets heat up months later as demand slowly catches up.
WHY THE 2024 HALVING MATTERS
Since the last halving happened in 2024, history suggests the strongest phase should play out during 2025 and possibly stretch into early 2026.
WHAT HAPPENS AFTER THE HYPE
Once the peak forms, excitement fades. Liquidity dries up, overleveraged traders get wiped out and prices correct harder than most expect.
THE EXPECTED COOL OFF PHASE
If the cycle repeats, 2026 could be rough, with a true bear market bottom forming sometime in 2027.
THINK LIKE A CYCLE PLAYER
Knowing this rhythm helps you stay calm, manage risk and avoid emotional decisions when the market shifts. #BTC

Pakistan’s crypto regulator says the country is embracing Bitcoin as economic infrastructure and using its 20 GW energy surplus for $BTC mining and AI, predicting emerging markets will lead the next wave of adoption

Behind that vanished username lies a trail of unresolved clues, encrypted messages and silent wallets holding billions
Some say Satoshi walked away by design, others believe the disappearance was the final lesson true power lives in anonymity
Fifteen years later, the creator remains a ghost… but the revolution hasn’t stopped