Japan’s Debt Crisis: A Global Ripple Effect in Crypto Markets

Japan’s fiscal crisis, fueled by decades of government debt and demographic stagnation, triggered a shockwave across global financial markets, highlighting the interconnectivity of sovereign bonds, currencies, and cryptocurrencies. The ripple effect was most evident in August 2024 when Bitcoin (BTC) and other digital assets experienced significant losses, underscoring their sensitivity to systemic risks and liquidity disruptions.