🔥ATTENTION🔥
💥For the first time in a year, Japan's 🇯🇵 ECONOMY contracted by -0.7% in the first quarter of 2025.
👀This could be POSITIVE for financial markets and $BTC, let me explain why
What is happening in Japan⁉️
🔻Japan's GDP fell more than double what economists had predicted
🔻Additionally, this data does NOT include the reciprocal tariffs imposed on April 2
🔻Analysts claim that Japan's economy is heading towards a recession
Why could this be POSITIVE for financial markets, including #Bitcoin⁉️
▪️It would be positive since after this data, expectations that Japan will RAISE interest rates again have fallen drastically
▪️This is positive for financial markets and for Bitcoin because the most important factor for stocks and #crypto is global liquidity
▪️If Japan maintains ultra-low rates, investors can continue to take cheap debt in yen to invest in more profitable assets
▪️This mechanism is called carry trade, and Japan is the main global financer, there are $20T in yen in the financial system
▪️Not to mention, remember that when Japan raised interest rates in March 2024
▪️Investors had to sell their risk assets, such as stocks and crypto, to pay back loans that had suddenly become more expensive
