BOJ Raises Interest Rates to 0.75%, But Bitcoin Stands Unshaken—Is the Crypto Calm a Warning or Opportunity?

Core Viewpoint - The Bank of Japan (BOJ) raised its policy interest rate by 25 basis points to 0.75%, marking the highest level in nearly 30 years, indicating a gradual exit from ultra-easy monetary policy. Despite this significant change, Bitcoin's price remained stable, showing only a slight increase of under 1% and holding in the $87,000 range [1][2]. Group 1: BOJ Rate Hike Impact - The recent rate hike contrasts with historical trends where previous BOJ tightening cycles led to sharp sell-offs in crypto markets, particularly due to unwinding yen carry trades and tightening global liquidity [2][3]. - Market participants had largely anticipated the rate increase, suggesting that the move was already priced in, which contributed to Bitcoin's muted response [2][3]. - Analysts emphasize that the focus is not solely on the hike itself but on the forward guidance from BOJ Governor Ueda, which could indicate future rate hikes and amplify market effects [4][5]. Group 2: Future Outlook - The BOJ has indicated a willingness to raise rates further, potentially reaching 1% or higher by late 2026, depending on wage growth and sustained inflation, which could exert pressure on risk assets [5][6]. - Bitcoin's resilience amidst the rate hike may signal a bullish trend, diverging from historical patterns of volatility in response to similar monetary policy changes [7].