PANews reported on December 6th that, according to Coindesk, the Bank of Japan is expected to raise interest rates to 0.75% at its December meeting, which would be the highest level since 1995 and would impact global markets, including cryptocurrencies. Higher Japanese interest rates would reduce the attractiveness of the trade and could force position adjustments in markets most sensitive to leverage and liquidity, including Bitcoin. A stronger yen is typically accompanied by reduced macro portfolio risk, and this dynamic could tighten liquidity conditions, which recently helped Bitcoin rebound from its November lows.
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