According to The Kobeissi Letter, Japan's real wages fell sharply by 2.1% year-over-year last month, marking the largest decline in over two years (source: @KobeissiLetter, May 25, 2025). With inflation rebounding and wage growth lagging, the Bank of Japan is unlikely to raise interest rates in this environment. This scenario may further weaken the Japanese yen, potentially driving increased interest from Japanese investors in cryptocurrencies as an inflation hedge and alternative asset class. Crypto traders should monitor yen movements and BOJ policy signals, as sustained currency weakness could spur capital flows into Bitcoin and other digital assets.

According to The Kobeissi Letter, Japan's 30-year government bond yield has surged to a historic high of 3.15%, signaling significant turmoil in the Japanese bond market (source: @KobeissiLetter, May 20, 2025). This unprecedented yield spike reflects mounting inflation and a shift in policy outlook, which could prompt global risk-off sentiment and capital flows into alternative assets such as cryptocurrencies. Traders should closely monitor yen weakness and potential liquidity shifts, as these factors may drive increased volatility and trading opportunities in both crypto and global markets.