The post Fed Plans Dollar-Yen Moves: What It Means for Crypto appeared on BitcoinEthereumNews.com.

TLDR: Fed may sell dollars and buy yen, a rare move not seen this century. Coordinated U.S.-Japan interventions historically boost global liquidity and assets. Bitcoin has strong inverse correlation with the dollar and may benefit long-term. Yen strength poses short-term risk, but dollar weakness favors crypto growth.   The U.S. Federal Reserve is reportedly preparing to sell dollars and buy Japanese yen, marking a rare move not seen this century. The New York Fed has conducted rate checks, a key step that typically precedes currency intervention.  This coordinated action could affect global markets, as Japan has faced persistent pressure on its currency.  Analysts note that historical instances of joint interventions often lead to a surge in global asset prices, including cryptocurrencies. Coordinated Intervention and Historical Precedents Japan has attempted to stabilize its currency independently in recent years, with limited success. Previous solo interventions in 2022 and 2024 failed to maintain long-term yen strength.  A July 2024 intervention provided only temporary support, demonstrating the challenges of acting alone.  Historical examples, including the 1998 Asian Financial Crisis, show that when the U.S. and Japan act together, the yen stabilizes more effectively. The 1985 Plaza Accord provides another reference point. Coordinated action between major economies reduced the dollar nearly 50% over two years.  This shift influenced multiple markets, strengthening commodities, gold, and non-U.S. assets. Such coordinated measures show that joint interventions can create liquidity and drive asset performance. Current conditions place Japan under pressure due to weak yen levels and multi-decade high Japanese bond yields.  The Bank of Japan continues with hawkish policies, adding stress to markets. The potential for U.S. intervention increases global attention, with central banks monitoring the situation closely. Reports from Bull Theory suggest that U.S. and Japanese coordination could mirror past patterns. The Fed would create dollars, sell them,…

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Filed under: News - @ January 25, 2026 4:25 pm