It's Monday, August 19th, and this is Markets Daily hosted by me, Jen Snessy. On this show, we

navigate the currents shaping the crypto markets, providing insights against the broader

financial landscape. So whether you're actively trading or simply fascinated by the volatility

that is the crypto markets, this show is your compass to understanding what's happened,

where we are, and where we're

going. Good morning, everyone. Today, we are going to explore a development in the 4x world and how it's

impacting the crypto markets, specifically the recent rally in the Japanese yen and what it means

for Bitcoin traders. So let's take a moment to set the stage here. Over the past few days,

the Japanese yen has been on a tear, strengthening significantly against the U.S. dollar.

Now, to give you some context, since late Thursday, the yen has surged 2.4% to hit $1.45 per dollar.

This move has reversed the yen's previous weakening trend and signaled a renewed

bias towards what many consider an anti-risk currency. But the yen isn't just flexing its muscles against

the dollar. It's also showing strength against other major currencies like the Australian dollar,

the euro, and the British pound. This is

particularly important because the Australian dollar is often seen as a barometer of global

risk appetite. Now, why does this matter for Bitcoin and the broader crypto market? Well,

the last time we saw this kind of yen rally back at the end of July and early August,

it triggered what's

known as the unwinding of carry trades. For those unfamiliar, carry trades involve borrowing

in a currency with low interest rates, like the yen, and investing in higher yielding assets. When the

yen strengthens, these traits become more expensive to maintain, leading to a sell-off in riskier assets,

including Bitcoin. Earlier this month, Bitcoin took a significant hit, falling from around $70,000

...