Bitcoin's price increased by 3% to reach $88,059.05 on December 19, driven by market reactions to recent central bank policy updates. The Bank of Japan raised its short-term interest rate to 0.75%, marking the highest level since 1995, while the Federal Reserve indicated no immediate plans for rate cuts. Despite the rise in Japanese bond yields, the yen weakened as the BoJ emphasized a gradual, data-driven approach to policy normalization. John Williams of the New York Fed stated that current interest rates are appropriately aligned with inflation and labor market conditions. The market's attention is now on how these monetary policies will impact financial stability and efforts to counter the financing of terrorism.