"Japan has raised interest rates, funds are withdrawing from the crypto market back to banks" — every time I hear this kind of statement, I want to discuss the underlying logic with everyone.

To be honest, Japan's rate hike this time is only 0.25%. It looks intimidating, but it's not that exaggerated. Yes, there will definitely be a wave of "panic withdrawals" in the short term, which is normal; retail investors tend to panic when market volatility occurs. But let's think calmly: the overall global liquidity framework remains loose, and the funds in Japan within the entire crypto ecosystem are, frankly, just a small ripple.

More importantly, don't forget the core appeal of crypto assets themselves — decentralization and anti-inflation properties. These aspects won't change just because Japan raises interest rates. On the contrary, when economic uncertainty increases, these features become even more valuable.

Based on my observations, in the next approximately 2 weeks, the crypto market is likely to experience a correction phase due to this rate hike, with mainstream coins (including ETH, BTC) possibly dropping 10%-15%. Many people will panic and sell, but this is precisely a low-cost opportunity to position. I have already increased my cash reserves to 40%, waiting for this moment.

I suggest beginners not to rush into heavy positions; instead, use 20% of idle funds to build positions gradually and accumulate slowly. A decline is not a bad thing; it’s often a gift from the market. The key is whether you have the psychological resilience to withstand short-term fluctuations and stick to the long-term logic.