Bitcoin holds above $60,000 as yen jumps on intervention fears

Bitcoin (BTC) traded above $60,000 during Thursday’s European trading hours as traders priced out the prospect of a Federal Reserve interest rate hike in July.

The so-called dovish repricing occurred after Fed Chair Kevin Warsh said inflation risks have eased.

In currency markets, the Japanese yen strengthened to 161.20 per U.S. dollar from its 40-year low of 162.84. The sudden upswing in the yen during European hours triggered rumors that the Bank of Japan (BOJ) may have intervened to support its weakening currency.While the BOJ recently raised its interest rate to 1%, the move failed to halt the yen’s slide, and understandably so. With U.S. interest rates at 3.5%, the dollar remains attractive to investors.

From a crypto perspective, the yen and bitcoin have developed a strong correlation.