Bitcoin Soars Past Interest Rate Hike Fears as BoJ Hits 31-Year High
The Bitcoin price has continued to rise despite a significant interest rate hike by the Bank of Japan (BoJ) on September 18. The BoJ increased its interest rate from 1% to 1.5%, marking the highest level in 31 years since 1995.
According to BoJ Governor Kazuo Ueda, the central bank aimed to prevent inflation from exceeding 2%. Ueda emphasized that if underlying inflation overshoots the 2% target, it could negatively impact Japan's economy.
The interest rate hike did not lead to a decline in Bitcoin's price as previously anticipated. Instead, the Japanese yen (JPY) dropped to its lowest level since September 3 against the US dollar (USD), reaching 0.00633. This unexpected move may be attributed to the efforts of US Treasury Secretary Scott Bessent, who pledged to support the yen.