2025-12-14 20:20:18

@@@️ The Bank of Japan might take action soon. Crypto circles, get prepared!

Lately, the rumors are intense—The Bank of Japan is considering raising interest rates. This may not be good news for Bitcoin. Many analysts are warning: if the rate hike materializes, BTC could retrace to around $70,000.

Why would a rate hike in Japan affect Bitcoin? Simply put, historical data shows that whenever the Bank of Japan takes action this year, Bitcoin tends to fall along with it, often dropping more than 20%.

The main reason is this—Japan's interest rates have been kept low for a long time. Global capital exploits this opportunity by borrowing yen to speculate in cryptocurrencies, commonly known as arbitrage trading. Once Japan decides to hike rates, the cost of borrowing increases. These arbitrageurs can no longer continue, forcing them to sell their holdings to pay off debts. The result is huge selling pressure, causing prices to plummet.

🔥 Timing is crucial: December 19th. The Bank of Japan is very likely to announce a rate hike decision on that day. Meanwhile, Bitcoin's technical indicators are also warning—currently, the candlestick chart has formed a "bear flag" pattern, which often signals a significant decline. Analysts generally agree that once the rate hike is confirmed, BTC will test the $70,000 to $72,500 range.

The logic chain is clear: Japan tightens policy → arbitrage positions collapse → massive sell-off of BTC and other cryptocurrencies → market pressure leads to decline.

What do you think? Will it really drop to $70,000? If it does, are you planning to buy the dip or stay on the sidelines? Should you strengthen risk management now or continue holding? Feel free to discuss in the comments.

BTC0.58%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

9 Likes

Reward
9
8
Repost
Share

Comment

0/400

SmartContractDiver

· 12-16 01:14

The bullish flag pattern might be about to be proven wrong this time, maybe even reaching new highs. --- 70,000? I think the arbitrage positions are not that fragile, and the Bank of Japan wouldn’t really be that harsh. --- Ladies, stay calm. These kinds of predictions happen every month. Whether to hold or sell, it’s your call. --- This logical chain seems quite flawed; historical data doesn’t equal the future. --- Diving in for a bottom, I’m already craving it, just waiting for this wave to crash. --- Instead of fearing rate hikes, it’s better to see what the Fed’s tone is like. Japan might not be that important. --- If it really drops to 70,000, I’ll go all in; otherwise, what’s the point? --- It feels like analysts are once again causing panic. Can they be more accurate than before? Haha. --- JPY arbitrage is indeed a big part, but the ecosystem has changed now. It might not follow the old routines. --- Wait until December 19th. Anyway, both sides are just gambling, so why bother stressing now?

View OriginalReply0

VCsSuckMyLiquidity

· 12-14 20:50

Japan is about to cause trouble again, arbitrage traders are going to cry --- Once the bullish flag is out, you'll know if it's genuine or not. Get ready to buy the dip --- If it really drops to 70,000, I'll go all in. I don't believe the Bank of Japan dares to do it --- They always say it will fall, but the coin keeps rising. Will it be different this time? --- Heard the theory that the arbitrage position will collapse too many times --- Hurry and sell before the 19th to save your life, then talk about it later --- Where's the big drop everyone promised? Why is it still consolidating? --- The Bank of Japan moves so slowly; the market must have already reacted in advance --- Just hold your position, no need to overthink --- Technical chart shows a bearish flag, but the fundamentals are the real king --- It's another arbitrage trade, always the same reason every year. Isn't it annoying?

View OriginalReply0

DeFiChef

· 12-14 20:48

Damn, it's the Japanese Central Bank again, always falling for their tricks --- 7万 is the level, I bet it won't break --- Liquidation from arbitrage... familiar script, last time it also said that and then it rallied --- If they really hike interest rates on December 19th, I'll just buy the dip. I don't believe this is just a fake move again --- They scared the market out of nowhere, really unwise --- Bullish flag? There are new patterns every day, anyway I can't understand them --- Instead of worrying about the Japanese Central Bank, better watch out for your own slip of the hand --- Rally, rally, this time is different... Don’t fool me, brother

View OriginalReply0

PseudoIntellectual

· 12-14 20:47

The Bank of Japan's recent operation directly hits the core of arbitrage trading, definitely a bear trap. Wait, can 70,000 really be smashed down? Feels a bit uncertain. If they actually raise interest rates this time, the held coins might have to be sold off. Forget it, better to reduce positions to preserve life. How many times has the bear flag pattern appeared? Is this really different this time? I remember December 19th, see you then in the live stream. I’m wondering if Japan is serious this time or just again trying to flood the market. They’ve tricked many people before. Will arbitrageurs really run away so violently? I doubt it’s that exaggerated. Between 70,000 and 72,500, just pick up the bargains when it drops. I’ve been ready with my knives all along. No, have you thought about the possibility that Japan might just be bluffing? The historical data argument is a bit weak. Still want to hear what’s different this time. A drop is also a normal correction. Long-term, the issue isn’t that big.

View OriginalReply0

SatoshiNotNakamoto

· 12-14 20:32

The Japanese interest rate hike is really frightening when it comes to arbitrage liquidation... Are we going to get cut again? Is 70,000 really the bottom? It feels like it can still be pushed down further. December 19th is a critical point; let's watch closely then. A bear flag appears, and this wave is indeed risky. Diving in to buy the dip was too brave; I think I'll reduce my position first to protect myself. Every time it’s said to fall to X amount, it rebounds even faster. Will this time be different? The yen arbitrage logic is quite clear, but the market never follows the usual pattern. Anyway, stability is the key; risk prevention comes first.

View OriginalReply0

LightningLady

· 12-14 20:29

The Japanese rate hike is really a bit urgent, but is the arbitrage position collapsing? Let’s see then, I’m a bottom-fisher anyway. 70,000 is not a dream; the question is whether you can catch it, that’s the real test. Bullish flag pattern? I've seen it too many times, every time it scares us, and the result? It still rebounds. What if the yen costs go up? It’s not just Japanese trading cryptocurrencies, don’t overthink it. Let’s wait until December 19th; only then will we know what the central bank really thinks. All current guesses are just nonsense. Just go for it; I already prepared cash long ago, just afraid it won’t drop. This wave is just creating panic again, which of the analysts warning every day has ever been accurate? Arbitrage position collapse? That’s someone else’s business, we’re just here to pick up the bargains. Holding positions? Nonexistent, holding cash and waiting for opportunities is the way to go.

View OriginalReply0

MetaverseHobo

· 12-14 20:24

The Bank of Japan's recent moves are indeed a bit tense, but will 70,000 actually be smashed? I think there's a lot of hype, and arbitrage positions aren't that fragile. --- The bull flag pattern is basically a probability game; relying on it to predict the market is a bit far-fetched. --- Instead of obsessing over Japan's rate hikes, it's better to watch how the Federal Reserve acts—that's the real big picture. --- Bottom fishing? Let's wait and see. Anyway, I'm not afraid of any dips; patience leads to victory. --- December 19th is expected to be lively. Whether it drops or not, I'm just here to watch the show. --- Honestly, there's a lot of analysis flying around, but very few can predict accurately. Managing your own risks is the most important. --- Between 70,000 and 72,500? I think it's quite possible, but don't be too pessimistic; there’s room for a rebound. --- The issue with Japanese interest rates has been clear for a while; it's a bit late to react now. --- If the arbitrage positions really collapse, it will indeed cause a wave of drops. The impact of this cannot be underestimated. --- Instead of predicting where it will fall to, ask yourself if you can withstand the pullback—that's the key.

View OriginalReply0

MindsetExpander

· 12-14 20:20

When Japanese action occurs, arbitrage positions are about to explode, this wave of decline is fierce. --- Once the bear flag appears, there are no good goods, let's see if 70,000 will be the turning point. --- Waiting for the 19th, when the opportunity to truly drop comes. --- The key is arbitrage liquidation, not technical patterns. --- Predicting a decline again, this routine has been used over and over. --- Is it time to bottom fish or keep watching the show? I choose to stay calm and observe. --- The yen borrowing game should be over, it was time to stop early. --- 70,000 is not a dream, the question is whether it can rebound. --- Whenever the central bank acts, the whole market loses, retail investors will be harvested again. --- I'm uncertain, policy expectations are often unpredictable, don't take them too seriously.

View OriginalReply0

Trending TopicsView More
#NonfarmDataBeats
57.49K Popularity
#HasTheMarketDipped?
115.66K Popularity
#FedRateCutPrediction
66.93K Popularity
#ETHTrendWatch
184.74K Popularity
#FHETokenExtremeVolatility
6.52K Popularity

Hot Gate FunView More

1
马已经服马已经服
MC:$3.55KHolders:1
0.03%
2
GT圣诞树GT圣诞树
MC:$3.59KHolders:1
0.00%
3
XCLXCellar
MC:$0.1Holders:1
0.00%
4
GWALLETGWALLET
MC:$3.55KHolders:1
0.00%
5
GLCGate Lucky Cat
MC:$3.54KHolders:1
0.00%

Sitemap