#数字资产市场动态 The sudden plunge behind this could be due to this — Japan's 20-year government bond yield suddenly surged, jumping 14 basis points from its previous level, now standing at 3.395%.

A chain reaction quickly followed. The cost of borrowing in yen sharply increased, and many investors betting on yen arbitrage started to panic, rushing to close positions and convert back to yen to repay debts. High-risk assets like Bitcoin were hit hardest, with sell-offs intensifying. The short-term selling pressure was quite significant, which is why we saw today's decline.

The deeper logic is that global liquidity is tightening. The attractiveness of domestic Japanese assets has suddenly increased, and Japanese funds that were previously invested overseas are starting to flow back. Think about it — when the yields on safe assets start to rise, who still cares about those highly volatile cryptocurrencies? As risk aversion shifts, some funds are directly withdrawing from the crypto market and flowing into traditional fixed-income markets.

To be honest, last year, the overall gains in cryptocurrencies didn't even surpass gold, which already shows that the enthusiasm of risk-averse funds for crypto has diminished compared to previous years. The shift in risk appetite may not be favorable in the short term, but from a longer cycle perspective, a rebound is still likely.