ChainCatcher reports that derivatives trader Gordon Grant believes the weakening Japanese Yen, in addition to Federal Reserve policy changes, is providing support for Bitcoin. The US dollar has strengthened against the Japanese Yen since Monday, further boosting Bitcoin's upward potential.

According to Grant, a stronger US dollar against the Japanese Yen historically has been beneficial for high-risk assets, as the yen is often used as a funding currency for "risk-on" trades. Investors borrow low-interest currencies like the yen to seek higher returns.