Nikkei 225 jumps 2.5% to a three-month high, lifting risk appetite for crypto

The Nikkei 225 rose 2.5% today, reaching a three-month high. 📈

Some people think this is merely a rotation of funds within Japan, with nothing to do with crypto. But I don’t think that’s the case. A recovery in global risk appetite has always followed recognizable patterns. When traditional investors look for opportunities in stocks, the sensitivity of high-risk assets often rises in tandem.

Leading on-chain DEXs like Hyperliquid have surpassed 250 million trades, and market activity remains strong.

There are two specific things to watch next: first, fluctuations in the USD/JPY exchange rate; second, changes in funding rates for on-chain perpetual contracts. Don’t blindly chase a rally—pay attention to the pace at which sentiment spreads.

Watching the red and green blocks flicker across the computer screen feels like standing by the beach, with a huge wave still approaching in the distance.

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