Live updates: Bitcoin at $63,600 as rare US-Japan yen action tests carry-trade fears
Bitcoin remains stable near $63,600 despite recent Japanese government intervention to support the yen. Analysts are monitoring the situation for potential impacts on the 'carry trade,' where investors borrow in yen to fund higher-yield assets.
Why it matters
Global currency fluctuations and central bank interventions can trigger volatility in crypto markets by forcing investors to unwind leveraged positions.
Japan and the United States confirmed they bought yen on Friday after the currency weakened to 163.73 per dollar. Bank of Japan data suggest Tokyo may have spent as much as $36.6 billion, while the size of the U.S. contribution has not yet been disclosed.
The yen rebounded to 157.57 on Friday and held near 157 on Monday.
Crypto traders watch the yen because of the carry trade. Investors borrow in Japan, where the policy rate is 1%, and move the money into assets offering higher returns.
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