Bitcoin extended its recent slide on Tuesday, as escalating geopolitical concerns tied to U.S. demands over Greenland prompted investors to pull back from high-risk, speculative assets.
The world’s largest cryptocurrency erased most of its mid-January rebound, drifting back toward levels last seen at the start of the year. Market participants shifted preference toward physical safe havens such as gold, reflecting a broader move away from risk.
Bitcoin was last down 1.8% at $90,916.8 by 01:39 ET (06:39 GMT).
Additional pressure came from delays surrounding a key U.S. cryptocurrency regulation bill. Lawmakers postponed debate on the proposal—which aims to create a formal regulatory framework for digital assets—after Coinbase Global Inc raised objections to several provisions within the draft legislation.
Trump says Greenland talks planned in Davos
U.S. President Donald Trump said late Monday that Greenland will be on the agenda when he attends the World Economic Forum in Switzerland this week. While Trump did not specify which leaders he would meet, representatives from several major European countries are expected to attend the conference.
Trump reiterated his view that the United States should acquire Greenland, citing national security concerns. His recent threats to impose tariffs on eight European nations unless they agreed to hand over the territory rattled global markets. He also declined to clarify whether military action could be used to seize the island.
European leaders largely rejected Trump’s demands and signaled they were preparing potential retaliatory measures should the tariffs be implemented. The surge in geopolitical uncertainty weighed heavily on cryptocurrencies, which tend to underperform during periods of heightened global risk.
Crypto liquidations accelerate as risk appetite fades
Liquidations of long positions across crypto markets continued at a rapid pace. Data from Coinglass showed that $260.32 million worth of positions were wiped out over the past 24 hours, following nearly $900 million in liquidations earlier in the week.
Retail sentiment toward Bitcoin remained notably weak, particularly in the United States. The Coinbase Bitcoin Premium Index indicated that Bitcoin continued to trade at a discount on U.S. platforms compared with global prices, underscoring subdued domestic demand.
Altcoins mostly lower amid broad crypto pullback
Losses extended across the wider crypto market. Ether, the second-largest cryptocurrency by market value, fell 2.2% to $3,126.01. XRP and BNB slipped 0.6% and 1.1%, respectively, while Solana declined 1.3%. Cardano bucked the trend, rising 0.9%.
Among memecoins, Dogecoin edged up 0.1%, while the $TRUMP token gained 0.9% after dropping below the $5 level earlier in the week.
