Yen Slump Is Bullish for BTC and Risk Assets. Or Is It?

Bitcoin (BTC) is not the only asset taking a beating this quarter. The Japanese yen (JPY) is also down 157.20 per U.S. dollar, a big move for a major fiat currency, prompting FX traders to await intervention from the Bank of Japan (BOJ) to stem the decline. But why are we discussing FX? It's because, historically, yen weakness has been linked to risk-on sentiment — when traders borrow yen at low interest rates in Japan and convert it into other currencies, such as the U.S. dollar, to invest in higher-yie ...