The Bank of Japan's upcoming interest rate hike is expected to have significant implications for global markets. The BOJ's decision to raise interest rates to 1% by June 16th could narrow the gap between US and Japanese bond yields, making Japanese bonds more attractive to investors.
This shift in attention could lead to a decrease in demand for US Treasury bonds, potentially pushing up their yields. However, SBI Shinsei Bank's decision to allow customers to convert deposit interest into XRP could provide a new source of recurring demand for the cryptocurrency.
The impact of these developments on the crypto market will be closely watched, particularly given its current lag behind equities. The total crypto market cap stands at $2.15 trillion, significantly lower than its previous peak, and below the S&P 500's value of over $7.4 trillion.