🔥 BOJ hikes interest rates & impacts on Bitcoin, Altcoins
BOJ is becoming a major macro factor in the crypto market. History shows that every time BOJ raises interest rates, Bitcoin usually drops significantly: • 7/2024: +0.25% → BTC drops over 20% • 1/2025: +0.50% → BTC drops about 30% • 19/12/2025: +0.25% to 0.75% → BTC is recovering to ~87,000$
Japan's interest rates have been extremely low ( and even negative ) for many years, causing investors to borrow Yen cheaply to invest in risky assets like Bitcoin and US stocks (carry trade).
When BOJ raises interest rates: the Yen strengthens, borrowing costs increase, carry trades are closed, investors sell risky assets to repay debts → creating selling pressure on BTC and Altcoins.
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
🔥 BOJ hikes interest rates & impacts on Bitcoin, Altcoins
BOJ is becoming a major macro factor in the crypto market. History shows that every time BOJ raises interest rates, Bitcoin usually drops significantly:
• 7/2024: +0.25% → BTC drops over 20%
• 1/2025: +0.50% → BTC drops about 30%
• 19/12/2025: +0.25% to 0.75% → BTC is recovering to ~87,000$
Japan's interest rates have been extremely low ( and even negative ) for many years, causing investors to borrow Yen cheaply to invest in risky assets like Bitcoin and US stocks (carry trade).
When BOJ raises interest rates: the Yen strengthens, borrowing costs increase, carry trades are closed, investors sell risky assets to repay debts → creating selling pressure on BTC and Altcoins.
$BTC $ETH