Bitcoin’s Surprising Yen Connection: -0.90 Correlation Challenges Carry Trade Theory
Bitcoin’s price exhibits an unusually robust negative 52-week correlation with the dollar-yen exchange rate (USD/JPY). This striking -0.90 correlation implies that approximately 81% of Bitcoin’s weekly price movements mirror the fluctuations of the USD/JPY pair. Such a strong inverse relationship means that as the Japanese Yen weakens against the U.S. Dollar (USD/JPY rises), Bitcoin’s price … Read more
