The news that just came out is a bit shocking - the Bank of Japan has raised interest rates again, reaching a new high of 0.75% in 30 years. The chain reaction behind this is what is truly worth following.

You may have heard the term "Mrs. Watanabe." This group of Japanese retail investors has been doing the same thing for years: borrowing yen at nearly zero interest rates, converting it into dollars, and desperately buying U.S. stocks, U.S. bonds, and various high-yield assets. This game has been played for nearly twenty years, consistently making profits without losses.

But now the story is turning around. The interest rate hike in Japan means that the cost of borrowing yen has jumped. Global players must operate in reverse - selling off their assets, converting back to yen, and paying off loans. How much selling pressure will be released in this process? Just thinking about it makes one feel that kind of impact. Traditional safe-haven assets like U.S. stocks and U.S. bonds may go through a round of repricing.

So where do these sold dollar assets flow to? When the market undergoes a change, smart money is always looking for new exits. Historical experience tells us that when traditional financial markets begin to shake and bond yields fluctuate more intensely, a portion of the most flexible capital will turn to those varieties with high liquidity and high elasticity. The rise in discussions about Bitcoin and gold over the past two years is certainly not a coincidence. The crypto market is slowly integrating into the framework of macro narratives—more and more institutions and large funds are starting to see it as an option in asset allocation.

Japanese households have nearly $15 trillion in financial assets on their books. Even a small portion of that changing investment direction could trigger a dramatic ripple in global liquidity. The early stages of liquidity transfer are often filled with high volatility and also harbor enormous opportunities.

What do you think of this wave of changes? Do you believe it will be more beneficial for Bitcoin, or is gold more appealing? Or does your judgment point in another direction? Let's discuss your thoughts.