Bitcoin Reaches Historic High Against Japanese Yen as New PM Sanae Revives Abenomics Strategy

Bitcoin (BTC) achieved a record-breaking valuation against the Japanese yen (JPY) on Monday, surpassing the bitcoin-dollar pair performance. This surge coincides with Japan's newly elected Prime Minister Takaichi Sanae endorsing a return to the pro-stimulus "Abenomics" economic framework. Originally implemented by former Prime Minister Shinzo Abe, Abenomics combated deflation through three pillars: aggressive monetary easing, substantial fiscal spending, and structural reforms. At a recent press conference, PM Sanae emphasized coordinated government and central bank efforts to achieve wage-driven inflation, maintaining accommodative monetary policy given the economy's precarious balance. These developments have fueled expectations for continued fiscal stimulus and low interest rates, with Reuters noting a decreased likelihood of Bank of Japan rate hikes. This macroeconomic environment benefits bitcoin and gold investors, as anticipated Fed and potential Japanese easing could increase demand for alternative assets. Specifically, the BTC/JPY pair on BitFlyer hit a record JPY 18,640,000, while Japanese equities like the Nikkei also rose, and the yen weakened to 150.35 per USD.