Bitcoin BTC$123,775.00 On Monday, the newly elected Prime Minister Prime Minister won a record high against the Japanese Yen (JPY) as Sunday’s newly elected Prime Minister expressed support for his return to the “Abenomics” strategy, leaving a pair of Bitcoin dollars
Abenomics is an economic strategy introduced by Prime Minister Shinzo Abe in late 2012 and early 2013, reviving the country’s economy by ending decades of deflation-driven stagnation. It included the use of three arrows: aggressive monetary easing, high public spending, cheap borrowing and structural reform to increase the likelihood of investment and growth.
At a press conference on Saturday, Sanaye revealed that the government will lead the setting of fiscal and monetary policy and reflect growing financial controls around the world, with the aim of prioritizing demand reflection.
She said the government and central banks must work closely together to achieve “demand-driven inflation backed by wage increases and corporate profits.”
The PM added that the Japanese economy is on a “tightrobe” and that it would be appropriate to maintain financial conditions for accommodation.
Her comments sparked hope for fiscal easing, supported by low interest rates. According to Reuters, the probability of raising BOJ prices this month has dropped sharply, and banks could be more cautious.
Timing isn’t more appropriate for Bitcoin Bulls and gold investors. As trader pricing continues to ease over the coming months, the possibility of Japan’s easing being updated could boost demand for cryptocurrencies and precious metals.
Bitcoin hits record high, and yen slides
According to data source TradingView, the Bitcoin-Yen pair (BTC/JPY) listed on Bitflyer reached a high of 18,640,000 yen, extending their five-day winning streak. Meanwhile, Coindesk data shows that the Coinbase listed BTC/USD pair traded at $123,100, well below the record high that reached the weekend.
Sanae’s comments also supported Japanese stocks, and the Nikkei Index surpassed 48,000 points for the first time. The yen slipped to a low of 150.35 per dollar, the weakest since August 1st.
Traders have been wary of the yen line driven by the Bank of Japan’s potential interest rate hikes for at least the past two years. However, some observers argue that the Japanese yen has been replaced by the Swiss franc, rather than the best safe haven currency once.
