Japan has recently executed an exchange intervention on the 30th of April with compelling implications for the Bitcoin market. This event follows Bitcoin's bullish performance in the opening Q2, during which prices surged by 14%, providing much-needed relief amid the current bear market.
Japan reportedly stepped into the currency market with roughly $35 billion of yen buying, sending the dollar down nearly 3% to 155.5. Bank of Japan (BOJ) money-market data imply that size is accurate.
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The Bitcoin price had quite an interesting performance over the past week, cruising to a new high above the $79,000 high early on before crashing to as low as $75,500 on the last day of April. However, the premier cryptocurrency has had a somewhat bright start to May, hovering around the $78,000 level.
A regime shift is taking shape in Bitcoin markets, with capital flowing into the leading cryptocurrency rather than into altcoins, analysts say.
Cryptoquant data shows bitcoin's 20% April rally from $66,000 to $79,000 was built entirely on perpetual futures demand while spot buying contracted throughout the move, raising serious questions about the rally's durability.