According to Golden Finance, derivatives trader Gordon Grant stated that the weakening of the Japanese yen has provided support for Bitcoin, in addition to changes in Fed policy. The dollar has been strengthening against the yen since Monday, providing further upside potential for Bitcoin.

Gordon Grant said that the strengthening of the dollar against the yen has historically been favorable for high-risk assets, as the yen is often used as a funding currency for risk-on trades, where investors borrow low-interest currencies like the yen to seek higher returns.

Earlier news reported that the Bank of Japan announced earlier today that it would suspend rate hikes and keep its policy interest rate unchanged at 0.25%, in line with market expectations.