Japan's 40-year government bond yield just broke through the 4% barrier—a milestone not seen since these securities first hit the market back in 2007. More striking: no Japanese sovereign yield of any maturity has climbed this high in over three decades. The benchmark climbed 5.5 basis points to reach this level, signaling a major shift in global bond markets.

What's happening here? Persistent inflation pressures, rising global interest rates, and capital rotation are forcing Japan's hand. When long-term yields spike this dramatically, it typically reshapes how institutional money flows—including into alternative assets. For crypto traders monitoring macro trends, this shift in Japan's yield curve worth keeping tabs on. It's the kind of signal that often precedes broader market recalibration across risk assets.