$ACT
The Federal Reserve's "fake fall" was pierced by the Bank of Japan's "real knife", causing a sudden change in the global capital landscape overnight. The Bank of Japan unexpectedly raised interest rates! Is the crypto market lying down to win?
Who would have thought that the big news at the end of 2025 would come from Japan! The central bank directly raised rates by 25bp to say goodbye to negative interest rates, piercing through the Federal Reserve's "fake rate cut" strategy, leading to a massive overnight relocation of global capital!
Previously, the Federal Reserve had been shouting about rate cuts for half a year, but the dot plot shows only one rate cut in 2026, clearly indicating "hawkish easing" sucking global blood. But Japan's rate hike was too harsh, with the USD/JPY interest rate differential falling below 3%, causing Wall Street traders' carry trades to collapse, and the money from selling dollar assets had to go somewhere—$18 billion flowed into the Chinese market, and the crypto circle quietly got a piece of the pie!
Capital always seeks profit; with the European economy stagnating and US stock valuations soaring, cryptocurrencies have become another "Noah's Ark"! Bitcoin's "digital gold" attribute is fully realized, becoming a hard currency for foreign capital to hedge; Ethereum follows the tech sector to benefit, after all, the expectation of rate cuts still exists, making growth assets the most elastic. This operation is akin to the "dumbbell strategy" in A-shares: BTC serves as the defensive shield, ETH as the offensive sword, while the speculative coins in between are ignored by foreign capital!
The storm of 2026 is just beginning: the Federal Reserve stubbornly refuses to cut rates, and Japan may raise to 1%, global liquidity is tightening, but the crypto market may have opportunities! After all, in chaotic times, scarcity is king.
How much do you think BTC can reach in 2026? Is it stabilizing with heavy foreign investment in Bitcoin, or betting on a rebound in ETH? Share your position planning in the comments section and see who the true hunters of chaos are!
