Ladies and gentlemen, I need to share some little-known facts that most people in the circle haven't noticed. Recently, the discussions in the group have been all about when the Federal Reserve will cut interest rates and how inflation data will evolve. After looking into it carefully, I finally understood— we've all been blinded by appearances. What truly can shake up the crypto asset market is actually the big move brewing at the neighboring Bank of Japan.

Let's reveal the cards first: in the logic of this round of market ups and downs, the Federal Reserve is at best just a front-stage actor, while the Bank of Japan is the unseen hand behind the scenes. Why dare to say this? You'll understand after a close look.

Over the years, global investors have focused on the Federal Reserve—inflation levels, rate hike pace. These are indeed important. But no one has truly explained Japan's operations over the past thirty-plus years thoroughly. What has the Bank of Japan been doing? Maintaining near-zero interest rate easing policies. This isn't just normal liquidity injection; it's opening a door for global capital— a low-cost borrowing gateway.

The play is simple: borrow yen at extremely low costs, exchange it for dollars, euros, or other currencies, then buy stocks, real estate, or high-risk assets like Bitcoin. The financial world calls this yen arbitrage trading, essentially a leverage game. This wave of low-cost funds has fueled a multi-year bull market in global risk assets, but most people haven't paid much attention to it.

The key turning point has arrived: the Bank of Japan has started raising interest rates. Don't underestimate the move of 0.25 percentage points; this is a complete reversal of decades of easing policies. It's like putting a lock on that "free money pool." How big is this impact? Much more intense than the Fed's rate hikes. Why? Because the market has long been accustomed to the Fed's rate increases and has built psychological expectations, limiting the shock to risk assets. But Japan's move is entirely different—it directly cuts off the source of low-cost funds flowing into global risk assets.

The future direction of crypto assets may be determined in this changing landscape.