Why have the markets experienced volatility this week?

The volatility this week did not come out of nowhere.

Markets are reacting to expectations that the Bank of Japan will abandon its highly accommodative monetary policy, which poses a temporary obstacle to #البيتكوين .

We have seen this scenario before.

📅 January 24, 2025 — The Bank of Japan raised #الفائدة rates from 0.25% to 0.50% — what happened next?

- #Bitcoin was moved to trading platforms ( in preparation for risks )

- Funding rates ( decreased )

- The price dropped — but did not break its long-term structure

And now 👀 the same scenario is repeating:

- Yen strength = liquidation of interest trades
- Decrease in leverage

- Sharp increase in short-term volatility

This is just preparation, not panic. The last interest rate hike by the Bank of Japan was largely expected, and the price of #BTC stabilized after leverage was reset.

That’s why we are closely monitoring the situation, as the #الاقتصادية macro indicators are not negative here, but merely an explanation for the volatility.
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