The Bank of Japan has signaled an interest rate hike, directly pushing the yield on the US 10-year Treasury bonds to 4.086%! Behind this number is a significant turbulence in the global flow of funds.

As one of the largest holders of US Treasuries, Japanese investors have begun to withdraw funds back to the domestic market. US Treasury prices are under pressure and falling, while yields are soaring. The chain reaction is that the global cost of dollar borrowing is rising, and various risk assets are facing the pressure of repricing.

What does this mean for the cryptocurrency market?

On the surface, the repatriation of funds to Japan may lead to tightening liquidity in the crypto market. But from another perspective—when traditional financial markets experience increased volatility, some funds may seek new allocation directions. At this point in time, crypto assets could potentially become an alternative choice.

The key lies in what to choose. Projects that truly have application scenarios and strong community consensus clearly have much stronger risk resistance than those that are purely speculative. During market turbulence, it is precisely the touchstone for testing project quality.

What should retail investors do now? Two suggestions:
First, do not be led by short-term fluctuations; maintain rational judgment.
Secondly, take the opportunity to optimize the position structure by replacing those assets that lack substantial support with more solid targets.

In simple terms, this wave of macro changes is essentially forcing investors to upgrade their understanding. Those who are still focused on short-term trading and chasing hot trends will eventually get hurt in market fluctuations. Meanwhile, those investors who truly understand trends and can filter projects will instead find undervalued opportunities amidst the turmoil, optimizing their asset allocation.

In the context of a global capital migration, whether one can seize the opportunity is not a test of luck, but rather the depth of understanding of the market and execution ability.