Analysis: The panic in the Japanese government bond market has spread to the cryptocurrency market

BTC8,22%

PANews January 20 News, according to CoinDesk reports, panic in the Japanese government bond market has spread to the cryptocurrency market. On Tuesday, the 30-year Japanese government bond yield surged over 30 basis points to 3.91%, hitting a 27-year high and triggering a sell-off in global risk assets. Saxo Bank’s head of commodity strategy pointed out that Japan has long been one of the most reliable sources of liquidity globally. The continued surge in its bond yields indicates that this support is waning, which will lead to a tightening of global liquidity. This change, combined with factors such as Trump’s tariff threats, has intensified market risk aversion. As a result, Bitcoin’s price fell below $91,000, while gold and silver continued to hit record highs. Analysts believe that the Bank of Japan has limited policy options; whether attempting to suppress yields or tighten monetary policy, it could further exacerbate global liquidity tensions. Market concerns are that the continued rise in yields may eventually trigger a “break” in the financial system.

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