Crypto Scenario Insights

Nikkei's Record High Meets BoJ Rate Risk — Will a Yen Carry Trade Unwind Trigger Another Crypto Liquidation?

What happened

Japan's Nikkei 225 index surged past 69,700 on the back of geopolitical relief, but upcoming Bank of Japan rate decisions threaten to trigger a yen carry trade unwind.

What we think

The most likely outcome is a volatile, short-term crypto leverage flush (55% probability) as the BoJ raises rates moderately but manages the transition with dovish rhetoric.

Read the analysis

Nikkei's Record High Meets BoJ Rate Risk — Will a Yen Carry Trade Unwind Trigger Another Crypto Liquidation?

We explain what happened and what could follow. We do not forecast prices.

Read the full analysis