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Bitcoin price remained highly volatile, trading close to $87,000 with the BTC to PKR rate hovering near PKR 25 million, as strong institutional inflows met sudden price reversals. BTC briefly surged close to $90,000 before facing selling pressure.
The Bank of Japan’s decision marks a historic shift from decades of ultra loose monetary policy. With inflation exceeding the BOJ’s 2% target persistently, policymakers opted to tighten conditions though real rates still remain accommodative. Markets had largely priced in this rate hike, which partly explains why the Japanese yen slipped against the U.S. dollar and Bitcoin showed modest strength instead of sharp volatility.
Despite the tightening, crypto markets maintained relative stability, signaling that traders are now seeing digital assets as somewhat resilient to macro shocks that traditionally impact stocks and currencies.
Bitcoin’s price hovered near $86,900 roughly ₨24-25 million PKR per bitcoin with muted reactions from risk assets globally. Some analysts had warned that rising rates in Japan could strengthen the yen and trigger broad risk-off moves, but that scenario has not fully materialized yet.
For decades, Japan’s ultra-low interest rates encouraged “carry trades,” where investors borrowed cheaply in yen to fund higher-yielding bets worldwide. A shift away from that regime could impact global liquidity and risk appetite but so far, BTC’s reaction suggests crypto traders are adapting to the evolving macro landscape faster than traditional markets.
