Japanese Financial Services Classification Classification Agency as a financial product Flash news details

On March 31, 2025, the Japanese Financial Services Agency (FSA) announced plans to update the law to classify encrypted currencies as financial products, according to Altcoingordon on Twitter (Gordon, 2025). This organizational transformation, from April 1, 2025, is a major change in the legal framework surrounding the encrypted currencies in Japan. This announcement led to immediate reactions in the market, as Bitcoin (BTC) witnessed an increase of 2.5 % in the price from $ 65,000 to $ 66,625 during the first hour of the advertisement (Coinmarketcap, 2025). ETHEREUM (ETH) also witnessed a rise of 1.8 %, moving from $ 3,200 to $ 3,257.60 during the same period (Coinmarketcap, 2025). BTC/JPY trading volume increased by 15 % to 1.2 million BTC trading during the first hour, while ETH/JPY witnessed a 12 % increase to 800,000 ETH (Coinbase, 2025). This regulatory news has also affected other major commercial pairs, as the volume of BTC/USD increased by 10 % to 1.5 million BTC and ETH/USD, an increase of 8 % to a million ETH (Binance, 2025). The scales on the series showed a 20 % increase in the active addresses of the BTC and an increase of 15 % for the ETH, indicating an increase in market activity (Glassnode, 2025).

It is expected that the classification of encrypted currencies as financial products by Japanese FSA will have deep effects on trading strategies. Instant prices in BTC and ETH indicate a positive feeling in the market towards organizational clarity. This may increase institutional investment, as it becomes clear from the increase in the volume of institutional trading by 5 % for the BTC in the main stock exchanges such as the CME group, which has seen an increase from 5000 BTC to 5,250 BTC during the first hour (CME group, 2025). The retailers also showed an increased activity, with a 10 % increase in the number of new accounts that were opened on platforms such as Coinbase and Binance (Coinbase, 2025; Binance, 2025). Organizational change is likely to encourage more organized commercial products, such as future contracts and options, which may lead to an increase in trading volume. BTC/JPY and ETH/JPY trading is expected to witness sustainable growth, with the expected size of 20 % and 15 %, respectively, increased next month (Nomura, 2025). The scales on the series support this trend, with a 25 % increase in the volume of transactions for BTC and an increase of 20 % for ETH, which was observed during the first 24 hours after implementation (Chainalysis, 2025).

The technical indicators of BTC and ETH showed bullish signals after the FSA announcement. The RSI RSI rose from 60 to 68 during the first hour, indicating a strong purchase pressure (Tradingview, 2025). Likewise, RSI increased from ETH from 55 to 62, indicating a similar trend (TradingView, 2025). The difference in the MACD of both assets showed a bullish intersection, with the crossing of the BTC MACD line crossed the top of the signal line at 10:00 am on March 31, 2025, and MACD from ETH after its example at 10:15 am (Tradingvief, 2025). The BTC and ETH trading volumes on the main stock exchanges such as Binance and Coinbase increased by 15 % and 12 %, respectively, during the first hour, with sizes of 1.5 million BTC and 1 million ETH (Binance, 2025; Coinbase, 2025). Bollinger ranges for both assets, indicating an increase in fluctuations, with BTC’s upper range from $ 67,000 to $ 68,000 and expanding the upper ETH range from $ 3,300 to $ 3400 (TradingView, 2025). These technical indicators, in addition to the increase in trading sizes, indicate a strong upward trend in the market after the organizational news.

Regarding AI’s news, there were no direct ads or developments related to FSA organizational changes. However, the broader market morale towards artificial intelligence and their potential impact on cryptocurrencies is still positive. AI -driven trading algorithms showed an increased activity, with 5 % in trading sizes driven by artificial intelligence of BTC and ETH on March 31, 2025 (Kaiko, 2025). This indicates that artificial intelligence merchants benefit from market movements resulting from organizational news. The relationship between the developments of artificial intelligence and the morale of the encryption market is clear in the increasing trading volumes and the positive market reactions on organizational clarity. As AI continues to play a greater role in trading strategies, its impact is expected to grow on market morale and trading sizes, which may lead to new trading opportunities in the Crypto Crossover space.

In conclusion, the Japanese FSA decision to classify encrypted currencies as financial products led to immediate and important reactions in the market, with clear effects on trading strategies and morale in the market. Technical indicators and trading volumes support upward expectations, while the increasing activity in trading by artificial intelligence indicates that there is an increased effect of Amnesty International in the encryption market. Traders must closely monitor these developments to take advantage of emerging opportunities.