Glassnode co-founder analyzes Japan's rate hike impact: Bitcoin will thrive after policy pressure

BTC5,06%

Odaily Planet Daily reports that Negentropic, co-founder of Glassnode, posted an analysis on the X platform about the impact of Japan’s interest rate hikes. He pointed out that what the market fears is not tightening but uncertainty. Sometimes, market volatility can actually be an opportunity. Japan’s central bank normalization has brought clarity to the global capital markets, and Bitcoin often thrives after experiencing policy pressure. Previous analyses suggested that Japan’s interest rate hikes might not trigger risk-averse sentiment in the crypto market. First, speculators currently hold a net long (bullish) position in the Japanese yen, so it is unlikely they will react quickly to the Bank of Japan’s rate hikes. Secondly, Japan’s government bond yields have continued to rise this year, with both short-term and long-term yield curves reaching multi-decade highs. The upcoming rate hikes reflect that official interest rates are catching up with market levels, indicating a lower likelihood of risk-avoidance sentiment emerging by the end of the year.

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