Japan’s Higher Rates Puts Bitcoin in the Crosshairs of a Yen Carry Unwind

Japan's decision to maintain higher interest rates has positioned Bitcoin as a focal point amidst a potential unwind of the yen carry trade. Investors, who have borrowed yen at lower rates to invest in higher-yielding assets, may now reconsider their strategies, creating volatility in the cryptocurrency market as they adjust their portfolios in response to these changing financial conditions. This shift not only reflects the complexities of global finance but also highlights Bitcoin's burgeoning role as both an asset and a target in the ever-evolving landscape of international investments. source: https://www.coindesk.com/markets/2025/12/05/japan-s-higher-rates-puts-bitcoin-in-the-crosshairs-of-a-yen-carry-unwind