Bitcoin declined again on Tuesday, extending its recent pullback as rising geopolitical concerns linked to U.S. demands over Greenland pushed investors away from riskier assets and toward traditional safe havens.
The world’s largest cryptocurrency erased most of its mid-January rebound, drifting back toward levels last seen at the start of the year as traders increasingly favored physical assets such as gold amid growing uncertainty.
By 10:16 ET (15:16 GMT), Bitcoin was down around 3% at $90,298, reflecting sustained selling pressure across the broader crypto market.
Sentiment was also weighed down by delays surrounding a key U.S. crypto regulation bill. Lawmakers postponed discussions on the legislation, which aims to establish a formal regulatory framework for digital assets, after objections were raised by Coinbase Global over several proposed provisions.
Trump to raise Greenland issue in Davos
U.S. President Donald Trump said late Monday that he plans to discuss Greenland while attending the World Economic Forum in Switzerland this week.
While Trump did not specify which leaders he expects to meet, delegates from several major European countries are scheduled to attend the forum. The president once again reiterated his stance that U.S. ownership of Greenland is vital for national security.
Markets have been rattled after Trump threatened to impose tariffs on eight European nations unless Greenland is handed over to Washington. He also stopped short of ruling out military action, further fueling investor unease. European leaders have broadly rejected the demands and have signaled potential retaliatory measures if tariffs are imposed.
These heightened geopolitical tensions have reduced appetite for cryptocurrencies, which tend to underperform during periods of elevated uncertainty and risk aversion.
Bitcoin longs face heavy liquidations
Long positions across Bitcoin and the wider crypto market continued to unwind sharply. Data from Coinglass showed that $260.32 million worth of crypto positions were liquidated over the past 24 hours.
This followed nearly $900 million in liquidations earlier in the week, underscoring the scale of forced selling as prices slid. Retail sentiment toward Bitcoin remained particularly weak in the United States, with the Coinbase Bitcoin Premium Index indicating that BTC continues to trade at a discount on U.S. platforms compared with global averages.
Strategy adds another major Bitcoin purchase
Meanwhile, Strategy, the largest publicly listed corporate holder of Bitcoin, continued its aggressive accumulation strategy with another multi-billion-dollar weekly purchase.
The company acquired 22,305 Bitcoin for approximately $2.13 billion last week at an average price of $95,284 per coin. Following the purchase, Strategy’s total Bitcoin holdings rose to 709,715 coins.
Strategy said it has now spent a cumulative $53.92 billion on Bitcoin acquisitions, implying an average purchase price of $75,979 per coin across its entire position.
Altcoins slide as crypto weakness broadens
Losses extended beyond Bitcoin on Tuesday, with most major altcoins trading lower. Ether, the second-largest cryptocurrency, fell 6.3% to $3,013.88.
XRP declined 3%, while BNB slipped 2.6%. Cardano dropped 2.4% and Solana fell 4.1%. Among memecoins, Dogecoin lost 2.4%, while the $TRUMP token eased 1.6% after recently falling below the $5 level.
