Bitcoin rises slower in yen terms than dollars as the yen strengthens on potential Bank of Japan intervention and inflation pressures.
Bitcoin and other cryptocurrencies are underperforming in yen-denominated pairs compared to their dollar-based counterparts. The yen’s sharp rise to 161.55 per USD from 162.42 earlier has dampened BTC/JPY gains, which stand at 0.68% versus 1.15% for BTC/USD on Nasdaq.
The yen’s rally follows speculation about Bank of Japan intervention after the currency hit a 40-year low. Stronger wholesale inflation and expectations of faster BOJ rate hikes have fueled these concerns. Historically, BOJ interventions have provided only temporary relief.
Japan’s government is also pushing the ¥277 trillion GPIF pension fund to increase domestic asset allocations, a move that could impact global markets. Other JPY-denominated crypto pairs, including ETH/JPY and SOL/JPY, show similar underperformance.