$PEOPLE Japan raised interest rates the day before yesterday and sent a new prime minister to power, causing the Nikkei to plummet. Japan's long-term negative interest rates have led to capital lending out hundreds of millions of dollars to arbitrage in U.S. stocks and the cryptocurrency market. The cryptocurrency market plunged on August 5 because the Japanese prime minister said he would raise interest rates, causing many arbitrage funds to panic and close their positions.