Japan

Japan’s 10-year government bond yield has surged to its highest level since 2008, signaling the end of an era of ultra-low rates. This shift in monetary policy could have significant implications for Bitcoin by impacting global liquidity and investor risk appetite.

The crypto market started December with heavy losses, with Bitcoin dropping over 7%. The downturn is largely attributed to rising interest rates in Japan, which is prompting the unwinding of the yen carry trade, leading to widespread sell-offs in risk assets.

Bitcoin plunged 7% overnight, wiping out last week’s gains, as news from Japan triggered massive liquidations. The market now awaits a key speech by Fed Chair Jerome Powell.