Bitcoin Price at Risk of Crash Amid BOJ Rate Decision on December 19

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Bitcoin faces a potential price action breakdown as the Bank of Japan prepares its rate decision on December 19. Analysts warn a rate hike could trigger a liquidity crunch, echoing the August 2024 sell-off. Weak Bitcoin demand and capitulation signs suggest caution. A move higher in rates may force leveraged Yen positions to unwind, stressing bonds and testing the risk-to-reward ratio for traders. Some see a drop to $75,000 or lower, though $50,000 is less likely due to institutional support. A sharp selloff could also challenge firms like MicroStrategy and spark a later Bitcoin rebound.
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