Crypto Market Stabilizes as BOJ Keeps Rates Unchanged amid Slowing Inflation
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The crypto market shows signs of stability as the Bank of Japan (BOJ) holds its benchmark interest rate unchanged on Friday. Bitcoin advances towards $90K and gold rises amid mixed sentiment as the US PCE inflation remains elevated and Japan’s inflation slowed for the first time in four months. Bank of Japan Holds Rate Unchanged at 0.75% Crypto market reacts as the BOJ has kept its interest rate unchanged at 0.75% in an 8-1 vote on January 23, in line with economists’ forecasts. The central bank leaves borrowing costs at the highest level in three decades ahead of next month’s snap election, Bloomberg reported. This comes as the board raised its FY 2026 GDP growth outlook to 1% from 0.7%, citing support from a recent trade deal and a large stimulus package. Inflation also cooled for the first time in four months due to government subsidies. However, the BOJ maintained its hawkish inflation forecasts and potential for further rate hikes this year. At the time of writing, the yen slightly strengthened against the US dollar to 158.54, after continuing to weaken this year. Japan’s long-term government bond yield fell as the BOJ held rates steady and inflation cooled. Japan’s 40-Year Government Bond yield drops %0.055 to 3.939%. Japan’s 40-Year Government Bond Yield. Source: CNBC Bitcoin, Crypto Market Steady Ahead of Crypto Options Expiry The crypto market steadies as the BOJ decided to keep its benchmark interest rate unchanged, providing some relief to global risk assets, including Bitcoin. Crypto prices faltered following the US PCE inflation release for October and November, which showed inflationary pressure remains elevated. Bitcoin and major altcoins showed mixed price action, avoiding sharp sell-offs that might have come amid a hawkish shift in inflation expectations from the BOJ and a slight strengthening of the yen against the…
Filed under: News - @ January 23, 2026 6:26 am