The recent auction performance of Japan's 10-year government bonds has been quite impressive, and market expectations for a rate hike have soared to around 80%. In fact, the volatility in traditional financial markets is not entirely unrelated to the movements of crypto assets.

From a capital flow perspective, as one of the world’s major economies, shifts in Japan’s monetary policy often trigger capital reallocations. Rising expectations of rate hikes mean that traditional fixed-income products become more attractive, and some floating capital may exit risk assets in search of more stable returns. As a highly volatile asset class, the crypto market is naturally likely to be affected to some extent.

However, for ordinary investors, such macro-level changes serve more as a reminder than a warning. The coping strategies are actually not that complicated:

First, stay sensitive to information and keep an eye on policy trends of major global economies;
Second, keep your asset allocation flexible—don’t go all-in on a single track;
Third, independent thinking is more important than following the crowd.

To be honest, changes in the external environment do put short-term pressure on the market, but the underlying logic of the crypto space—technological innovation, real-world adoption, community consensus—won’t disappear just because a certain country raises interest rates. Good projects are still good projects; the key is whether you can find the signal amidst the noise.

The market is always volatile. The survivors aren’t those who make the most accurate predictions, but those with the most solid risk management.

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