Yen's Surge Affects Bitcoin
The Bank of Japan (abbreviated as JPY/BOJ) raised interest rates again and took a hawkish stance, causing the yen to skyrocket. Speculators quickly closed their respective interest rate trades, and #️ ⃣ Bitcoin was unexpectedly the victim. Speculators mainly invest in high-yielding assets by borrowing low-interest yen. In other words, the yen's surge is bound to squeeze the rewards of these margin trades, forcing speculators to reduce their exposure to high-risk assets, including cryptocurrencies. Bitcoin is under pressure. CoinDesk quotes show that as of 1:11pm Taipei time, Bitcoin reported $63,811.01, down 2.76% from 24 hours ago; it has been down nearly 6% so far this week.
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