As BTC surges to $112,000, the financial markets are experiencing a historic reassessment of global bond yields and the US dollar exchange rate, which is one of the key drivers behind BTC's recent surge to $112,000.
BTC Price Upward Trend Driven by Asian Macro Factors
Despite officials from multiple Asian countries denying any coordinated intervention in exchange rates to address US trade deficits, emphasizing that the current currency trends are mainly due to life insurance companies and export enterprises hedging their large US dollar exposures, the overall trend of currency appreciation continues. As Asian currencies continue to strengthen, their economic impact becomes increasingly apparent: in the coming months, this change may exert heavy pressure on regional economic growth.
Similar to the US stock market rebound in mid-April, BTC's current rise was initially viewed as driven by Trump's fluctuating tariff rhetoric. However, his threats are now largely seen as symbolic gestures, and BTC's continued upward trend is increasingly driven by deepening macroeconomic concerns in the Asian region. A key turning point emerged after the US corporate earnings season, with corporate buybacks resuming and Coinbase's price premium rapidly expanding compared to other exchanges, indicating a significant rise in bullish sentiment among US investors as BTC broke through $87,000.
BTC Value Increasing, New Whales May Emerge
Although MicroStrategy purchased BTC worth $4 billion in the past month, the real breakthrough occurred after May 7th, following two weeks of market consolidation. Deeper driving factors may be emerging: the market seems to be evolving towards a more macro economic "endgame", with BTC increasingly becoming a core asset. The dominant force behind this rise is likely not MicroStrategy, but a more secretive yet equally powerful new buyer. Identifying this buyer and their capital strength may be key to determining BTC's future trajectory.
Metaplanet Rises 190%, Japanese Retail Investors Might Be BTC Buying Force
Japanese consumer confidence is sharply declining. The Bank of Japan significantly lowered its 2024 economic growth forecast from 1.1% to just 0.5% in its May 1st meeting. Weak government bond auction demand has accelerated capital inflow into the BTC market, with Japanese retail investors increasingly becoming the dominant force.
Since the Bank of Japan's announcement, Japan's crypto "shadow stock" Metaplanet has cumulatively risen 190%, with its market value increasing to $4.8 billion, a premium of 470% compared to its $845 million BTC assets. Given that Japan has not yet approved a BTC ETF and related regulatory policies are not expected until next year at the earliest, investors' indirect BTC holdings through Metaplanet stock are approaching a cost of $600,000 per coin.
Considering its inflated net asset valuation and market value skyrocketing from $40 million to $4.8 billion in just a year, investing in Metaplanet remains a highly speculative activity. Although the company currently holds about $845 million in BTC, its position is still far smaller than MicroStrategy's. Despite low Google search trends, the Japanese market remains worth close attention—clearly, capital is quietly continuing to build positions. Increasingly, signs indicate that BTC buying force comes from Asia, with its primary gains typically concentrated during Asian trading hours.
Disclaimer: Markets carry risks, and investment requires caution. This article does not constitute investment advice. Digital asset trading may involve significant risks and instability. Investment decisions should be made after carefully considering personal circumstances and consulting financial professionals. Matrixport is not responsible for any investment decisions based on the information provided in this content.
