BOJ Rate Hike Sparks Market Volatility as Bitcoin Holds Steady

The Bank of Japan is set to raise its policy rate to 1.25%, its highest level since April 1995, in a move that's being widely anticipated by economists.

A Reuters poll found that 66 out of 68 economists expect a hike this week, with almost 90% predicting that the rate will reach 1.50% by the end of March.

The long end has also moved significantly, with the 10-year yield reaching 3% for the first time since 1996 and the two-year yield sitting near 1.85%. This climb suggests that investors are demanding higher returns to hold Japanese government debt.

Bitcoin, however, is not reacting as expected, trading near $77,721 despite a similar yen shock last week.