Tomorrow's Bank of Japan interest rate decision could become a turning point in the recent global financial markets. The market widely expects the BOJ to raise the policy interest rate to 0.25%, hitting a nearly 30-year high. Behind this seemingly small number lies a signal that the era of cheap global funds is coming to an end.

The chain reaction in the funding chain has already become apparent. The crypto market has experienced consecutive declines this month, with market sentiment dropping to extreme fear. Besides the impact of Federal Reserve policies, this is largely due to the market's early digestion of the BOJ's rate hike expectations. When arbitrage funds withdraw from the easing environment, risk assets are the first to be affected. As front-line risk assets, cryptocurrencies like Bitcoin are under significant pressure.

The key variable lies in Governor Ueda Shinji's wording. If the rate hike is accompanied by signals of a slowdown, it could mean the worst is over and a short-term recovery is possible; conversely, if it hints at continued aggressive rate hikes next year, global funds will accelerate outflows from emerging risk assets, making a turnaround in the crypto space much more difficult.

Operational advice: Avoid heavy positions for bottom fishing, focus on maintaining core holdings, and ensure sufficient liquidity. Prioritize shorting strategies, avoid going against the trend recklessly, and use small positions for trial and error to allow more room for mistakes. Preserving principal is always the top priority. After the rate hike, capital flows will inevitably change, and those overlooked potential sectors may be the next opportunity.