The yen surged 3.7% in three trading days, but Bitcoin held above the $79,000 level, showing a different pattern from the unwinding of the yen carry trade in 2024.
The dollar-yen exchange rate fell from 160.39 yen last Wednesday to 154.50 yen on Monday. This represented a 3.7% rise in the yen’s value over three trading days, with no additional foreign-exchange market intervention by Tokyo confirmed.
The yen also surged in August 2024, triggering a large-scale unwinding of yen carry trades, in which funds were raised in low-interest yen and invested in risk assets. At the time, Bitcoin and Ethereum fell by as much as 20%.
This time, Bitcoin held above $79,000 despite the yen’s short-term strengthening. BeInCrypto assessed that Bitcoin had withstood the first yen shock.