Bitcoin-Japanese Yen (BTC/JPY) pair faces a uprising on Key Trendline Resistance Wednesday, while Goldman Sachs (GS) cites the Anti-Risk Yen as the leading fence against increasing tariff risks and retreats of the US.
Japan -based BTC/JPY Trading in Bitflyer -based Bitflyer fell 1% after failing to eliminate the course of the record high reached on January 20, data from the charting platform tradingview show.
The price of USD-denominated BTC faces similar losses. Meanwhile, Asian equity indices and US equity futures cover water ahead of President Donald Trump sweeping “Release day” reciprocal tariffs On Wednesday that can be alerted to a global trade war.
Tariff uncertainty revolves around some investment banks, including JPMorgan and Goldman Sachspencil at a higher chance of recurry of the US or consecutive quarterly contraction at the rate of growth.
Some Crypto observers look forward to Investors to treat Bitcoin (BTC) as a haven asset should be materialized by economic economic. Goldman, however, sees Japanese Yen, a long -lived shelter, as the leading fence against US risks.
“Yen offers investors of the best money hedge if the chances of increasing US retreating,” Kamakshya Tivedi, head of global foreign exchange, interest rates and emerging market approach to Goldman Sachs, said on Tuesday, According to Bloomberg.
Triivedi added that Yen is also a “excellent fence” against weakness in the US manufacture market and tend to do the best when the real US rates (adaptable inflations) and US equality are together.
While the BTC is widely seen as a digital gold or shelter of participants in the crypto market, cryptocurrency has a history transferred in conjunction with technology stocks. In other words, the risk led by tariffs on Wall Street could have infiltrated the crypto market.
In addition, yen strength may motivate the removal of bullish risk-funded yen denomination loans, which contributes to the general risk of risk in financial markets. The crypto market experienced it in early August of last year when Yen was carrying a trade that was not formed, leading to denial of both stock and BTC. During that time, Bitcoin fell from about $ 65k to $ 50k in a week.
Goldman hopes the Japanese Yen will rise in the low 140s against the US dollar this year. The USD/JPY pair was exchanged at 149.77 at the time of press. The exchange rate is known to closely monitor the difference between the yields in 10-year US and Japanese bonds.
The latter recently dropped to the lowest since August 2022, offering yen-bullish cues.
