As the Bank of Japan leans toward raising its benchmark interest rate by 25 basis points this month to tackle mounting inflationary pressures, Wall Street strategists remain split on whether the yen's latest rally can be sustained.

Wells Fargo suggests that the central bank's rate hike may struggle to exceed current market expectations, which could cap further upside for the Japanese currency. Meanwhile, JPMorgan argues that a stronger yen itself would diminish the impetus for the Bank of Japan to tighten policy.

Strategists at Bank of America, who recommended going long on the yen back in June, contend that if the Bank of Japan tightens monetary policy as anticipated, the yen would gain fresh momentum for further appreciation. The dollar-yen pair briefly rose 0.5% intraday to 153.25 yen per dollar, following Tuesday's session that marked its strongest level since mid-February.