Bitcoin (BTC) and the wider cryptocurrency market experienced a significant sell-off, triggered by a confluence of factors, most notably the surge in Japan's 20-year government bond yields to a 25-year high. According to CoinDesk, this spike has amplified risk aversion across global markets. Analysts suggest the increased bond yields raise the possibility of a "yen carry trade liquidation," where investors unwind positions funded by borrowing in yen. Coupled with growing global economic uncertainty, this has spooked investors. Additional pressures include concerns about debt risk in AI companies, China's tightening regulations on digital assets, and lingering stablecoin risks. S&P's downgrade of Tether's USDT stability rating further eroded confidence, particularly in China where USDT prices showed weakness. This reinforces the impact of macroeconomic factors on cryptocurrency market volatility. ```