Bank of Japan rate move: how to spot a carry trade unwind before it hits your Bitcoin holdings

The information provided in this article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments carry a high degree of risk. Always conduct your own research.Japan raises to 1.25 percent, the Fed to 3.75 to 4.00 percent two days earlier, and the crypto market rises anyway. How to tell whether an unwinding of yen-funded positions is under way, and what to check now on leverage, holding period and loss offsetting.The Bank of Japan raised its key rate by 25 basis points to 1.25 percent on Friday, September 18, 2026. That is the highest level in 31 years. Two days earlier, the US Federal Reserve had lifted its target range by the same amount to 3.75 to 4.00 percent. Two tightenings within three days, and the crypto market is still higher than the day before: Bitcoin was quoted at around $80,978 on the evening of September 18, 5.8 percent above its level 24 hours earlier, with Ether at around $2,613 and a gain of 6.5 percent (own query at CoinGecko on September 18, 2026 at about 18:52 UTC). The short answer to the question this raises: a rate move by the Japanese central bank is only dangerous for crypto investors if it triggers an unwind...