Categories: Bitcoin Latest News

Bitcoin Price Little Changed as Bank of Japan Keeps Interest Rate Steady

The bitcoin (BTC) price showed little reaction after the Bank of Japan (BOJ) held its benchmark interest rate unchanged at 0.5% on Wednesday, a decision that aligned with market expectations, as policymakers assessed the potential impact of U.S. tariffs under President Donald Trump on Japan’s export-driven economy.

The BOJ highlighted “high uncertainties” surrounding trade policies, with Governor Kazuo Ueda emphasizing the need to monitor how the tariff plans could ripple through global and Japanese markets.

The decision comes ahead of a U.S. Federal Reserve meeting, where rates are also expected to remain steady as Trump’s tariff policies loom large.

Japan’s monetary policy and bond yields have often influenced BTC markets. A stronger yen and rising yields tend to weigh on bitcoin by attracting capital to traditional assets while a stable or weaker yen supports the cryptocurrency’s appeal as an alternative store of value.

That said, when the bank raised rates in January, the bitcoin price held steady because attention was focused on potential policy developments under Donald Trump’s residency.

Wednesday’s rate decision keeps Japanese bond yields in check, limiting pressure on bitcoin’s price.

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