According to ChainCatcher, Negentropic, co-founder of Glassnode, published an article on the X platform analyzing the impact of Japan's interest rate hike. He pointed out that what the market fears is not tightening, but uncertainty. Sometimes market volatility is actually an opportunity. The normalization of the Bank of Japan's policy has brought clarity to the global financial market. Bitcoin usually thrives after experiencing policy pressure.
Previous analyses have suggested that Japan's interest rate hike may not trigger risk aversion in the cryptocurrency market. Firstly, speculators currently hold a large net long (bullish) position in the yen, making a rapid reaction to the Bank of Japan's rate hike unlikely. Secondly, Japanese government bond yields have continued to climb this year, with both short-term and long-term yield curves reaching multi-decade highs. The upcoming rate hike reflects that official interest rates are catching up with the market, indicating a low probability of risk aversion at the end of the year.
