TechFlow News: On January 26, the USD/JPY exchange rate experienced sharp volatility. Following the Federal Reserve Bank of New York’s rare “inquiry” regarding USD/JPY, Japanese Prime Minister Shigeru Ishiba publicly warned that Japan would respond to “speculative and abnormal fluctuations,” prompting USD/JPY to plunge 175 pips to around 154. Markets widely interpreted this as a potential coordinated intervention by the U.S. and Japan to curb excessive USD strength, stabilize the JPY, and dampen financial market volatility ahead of Japan’s upcoming general election.
Bank of America analysts believe the U.S. move aims not only to safeguard trade competitiveness but also to stabilize the U.S. Treasury market and strengthen diplomatic leverage vis-à-vis Japan. BiyaPay analysts noted that if the USD faces near-term pressure, global liquidity expectations may ease, potentially providing marginal support for crypto assets such as Bitcoin; however, short-term exchange-rate and policy-related uncertainties could amplify cross-market volatility.
Under current conditions, investors should closely monitor how foreign exchange policy shifts transmit to risk assets. BiyaPay users can flexibly access U.S. equities, Hong Kong equities, options, futures, and digital currency markets via USDT—enabling more effective asset allocation and risk management during periods of heightened volatility.
