#美联储降息 The Bank of Japan is about to raise interest rates. Can your holdings withstand this?
According to Reuters, the Bank of Japan plans to start raising rates next month and aims to push the interest rate up to 1% by September next year. This may sound like a distant event, but for the global crypto market, the impact could be much deeper than you think.
**Global Cheap Money Is Drying Up**
For a long time, Japan has been a major source of low-interest capital worldwide. When the central bank tightens monetary policy, the hot money from Japan that has been flowing into the crypto market will gradually flow back. When market liquidity shrinks, any asset that relies heavily on incremental funding will face pressure—that's a basic market rule.
**Who Will Be the First to Feel the Pinch?**
The high-interest era has lasted for some time, and the tightening cycle among global central banks is not over yet. Japan’s move is just a signal within the big trend. Projects lacking fundamental support and purely maintained by speculative enthusiasm are most vulnerable in times of liquidity tightening. In contrast, leading assets like Bitcoin and Ethereum, with well-developed infrastructure and active ecosystems, have stronger risk resistance.
**Practical Strategies**
First, gradually adjust your position structure. Shift focus from conceptual projects to assets with solid fundamentals; this will be safer.
Second, control leverage and maintain cash reserves. Don't always aim for full positions; leaving room gives you an edge to act when markets truly panic.
Third, wait for market sentiment to fully release. Sharp declines are often good opportunities to deploy, but only if you let the downward moves land first, rather than rushing to catch the falling knives.
This rate hike expectation is actually a test of your holdings’ quality. Those who can survive the liquidity contraction are truly good assets. $ETH $BTC
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WhaleShadow
· 12-11 08:11
The Japanese interest rate hike was something I should have seen long ago; cheap prices won't last forever. I've long since sold off those worthless tokens, and now I'm just holding onto BTC and ETH, gathering dust, waiting to see who gets hit with the flying knives.
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ForkTongue
· 12-11 08:11
Japanese rate hike? Uh, here we go again... It was about time to clear out the junk coins, those still playing with concept projects should be panicking now haha
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EntryPositionAnalyst
· 12-11 08:11
Whenever Japan raises interest rates, hot money flows out. It seems I need to clear out those worthless coins and stick to holding BTC and ETH, which are more reliable.
View OriginalReply0
LightningPacketLoss
· 12-11 08:00
Japan raises interest rates? Uh... my accumulation of altcoins might be in trouble orz
View OriginalReply0
DegenWhisperer
· 12-11 07:55
Japan raises interest rates? The altcoins I hold are going to cry. Luckily, I sold most of them early; the remaining ones can just serve as practice.
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InTheYearOfTheDrago
· 12-11 07:55
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CodeSmellHunter
· 12-11 07:51
The Japanese rate hike has really arrived. This wave of cheap funds is drying up, and shitcoins are going to suffer.
View OriginalReply0
WenMoon42
· 12-11 07:45
Another reason for a bullish rally to crash the market, huh? Japan raising interest rates, the Federal Reserve cutting rates, what's going on? Anyway, I don't pay attention to these; I just hold onto BTC and ETH tightly. I won't touch any other coins I've never even heard of.
#美联储降息 The Bank of Japan is about to raise interest rates. Can your holdings withstand this?
According to Reuters, the Bank of Japan plans to start raising rates next month and aims to push the interest rate up to 1% by September next year. This may sound like a distant event, but for the global crypto market, the impact could be much deeper than you think.
**Global Cheap Money Is Drying Up**
For a long time, Japan has been a major source of low-interest capital worldwide. When the central bank tightens monetary policy, the hot money from Japan that has been flowing into the crypto market will gradually flow back. When market liquidity shrinks, any asset that relies heavily on incremental funding will face pressure—that's a basic market rule.
**Who Will Be the First to Feel the Pinch?**
The high-interest era has lasted for some time, and the tightening cycle among global central banks is not over yet. Japan’s move is just a signal within the big trend. Projects lacking fundamental support and purely maintained by speculative enthusiasm are most vulnerable in times of liquidity tightening. In contrast, leading assets like Bitcoin and Ethereum, with well-developed infrastructure and active ecosystems, have stronger risk resistance.
**Practical Strategies**
First, gradually adjust your position structure. Shift focus from conceptual projects to assets with solid fundamentals; this will be safer.
Second, control leverage and maintain cash reserves. Don't always aim for full positions; leaving room gives you an edge to act when markets truly panic.
Third, wait for market sentiment to fully release. Sharp declines are often good opportunities to deploy, but only if you let the downward moves land first, rather than rushing to catch the falling knives.
This rate hike expectation is actually a test of your holdings’ quality. Those who can survive the liquidity contraction are truly good assets. $ETH $BTC