Bitcoin struggled to hold above the $80,000 level as macroeconomic headwinds and developments in the Japanese yen weighed on risk-asset sentiment. Data from TradingView indicated that local upside attempts in the BTC/USD pair reversed, leaving the cryptocurrency down roughly 0.4% on the day.
Risk sentiment took a hit as fresh US strikes on Iranian oil tankers pushed crude prices higher. Brent crude surged above $101 per barrel for the first time since late July, while WTI crude traded above $96 per barrel, reaching new three-month highs. Wall Street stocks also drifted lower at the opening bell.
At the same time, market participants closely monitored the Japanese yen, which traded around 153 per dollar—marking its highest levels against the dollar since February and up 6.5% since the start of August. Barchart data cited by Bloomberg showed that Japanese yen short positioning remained near record highs, hovering above 5 trillion yen at the start of September.
Charu Chanana, chief investment strategist at Saxo, noted that continued yen strength could trigger an unwinding of the yen carry trade. With an anticipated 0.25% interest-rate hike from the Bank of Japan scheduled for its September 28 meeting, further yen appreciation risks accelerating leverage reduction in the market.
US Treasury Secretary Scott Bessent added to the pressure on yen shorts by hinting at further currency market interventions. Speaking at an event at Southern Methodist University in Texas, Bessent remarked on policymakers' coordination with the Bank of Japan, telling short traders that policymakers hold asymmetric information in foreign exchange operations.
