The Nikkei fell more than 9% in a single day, wiping out $650 billion in market value.
The logic is simple: when Japanese stocks plunge and U.S. Treasury yields rise, the market pulls liquidity first. Speculative positions are forced to trim their exposure, and altcoins often follow with a sell-off a day or two later. Treat it as a switch: if the Nikkei falls more than 5% in a day and yields rise at the same time, reduce small-cap positions first. Wait until both conditions ease.
The logic is simple: when Japanese stocks plunge and U.S. Treasury yields rise, the market pulls liquidity first. Speculative positions are forced to trim their exposure, and altcoins often follow with a sell-off a day or two later. Treat it as a switch: if the Nikkei falls more than 5% in a day and yields rise at the same time, reduce small-cap positions first. Wait until both conditions ease.