The US Fed may sell dollars and buy Japanese yen — something that hasn’t happened in this century.

Why this matters 👇

The New York Fed has already done rate checks, which usually comes right before currency intervention.

If confirmed, it means the US and Japan could step in together.

This is rare — and historically very bullish for global markets 📈

đŸ‡ŻđŸ‡” Why Japan is under pressure

‱Yen has been weak for years

‱Japanese bond yields at multi-decade highs

‱BOJ still hawkish

Japan tried to defend the yen alone in 2022 & 2024 — it didn’t last.

📌 History is clear:

‱Japan alone → doesn’t work

‱US + Japan together → it works

Examples:

‱1998 Asian crisis

‱1985 Plaza Accord → Dollar dropped ~50% in 2 years

Result? Dollar down

Gold & commodities up

Non-US markets pumped

🏩 If the Fed intervenes, here’s what happens:

‱Fed sells dollars, buys yen

‱Dollar weakens

‱Global liquidity increases

📊 When the dollar is intentionally weakened, assets usually pump.

₿ What about crypto?

‱Bitcoin has a strong inverse link to the dollar

‱Strong positive link to the yen

‱$BTC -JPY correlation is near record highs

⚠ But there’s a catch


⚠ Short-term risk

There are hundreds of billions in the yen carry trade:

‱Borrow cheap yen

‱Invest in stocks & crypto

‱If yen strengthens fast → forced selling.

📉 Example:

‱Aug 2024 BOJ hike

‱$BTC dropped $64K → $49K in 6 days

‱Crypto lost $600B

👉 Yen strength = short-term pain

👉 Dollar weakness = long-term gain

🚀 Why this is still bullish

Bitcoin is still below its 2025 peak

It hasn’t fully priced in currency debasement

If the dollar weakens: 💾 Capital looks for undervalued assets

📈 Historically, crypto benefits the most

🔍 This could be one of the most important macro setups of 2026

Source: Bull Theory on X

#SouthKoreaSeizedBTCLoss #articleonbtc

$BTC