Total market capitalization is down 4% on the day as markets have shed more than $200 billion since the weekend.\u00a0Bitcoin has led the losses, falling briefly below $88,000 during early trading in Asia on Wednesday morning, but it appears America is leading the sell-off.<\/p>\n
BTC has now lost 10% in just seven days as it falls back to support levels. However, zooming out shows that it remains within a two-month range-bound channel and continues to consolidate.<\/p>\n
Major volatility was predicted<\/a> for Tuesday following a public holiday in the US on Monday, as markets digest President Trump\u2019s latest round of tariff threats on Europe.<\/p>\n \u201cThe cryptocurrency market crashed on January 21, primarily due to broad risk-off sentiment from President Trump\u2019s renewed 10\u201325% tariff threats on European\/NATO countries over the Greenland dispute, amplified by a sharp Japanese government bond sell-off,\u201d said Andri Fauzan Adziima, research lead at Bitrue.<\/p>\n Trump\u2019s trade war is not the only thing impacting crypto markets today.<\/p>\n \u201cMuch of today\u2019s market upheaval stems from Japan,\u201d said<\/a> Head of Investment Strategy at SoFi, Liz Thomas.<\/p>\n Head of Commodity Strategy at Saxo Bank, Ole Hansen, explained<\/a> that \u201cThe relentless surge in long-dated JGB [Japanese government bond] yields signals that one of the world\u2019s most reliable liquidity backstops is fading, with consequences that extend well beyond Tokyo.\u201d<\/p>\n Pressure on global liquidity impacts risk-on assets such as crypto and tech stocks first, while safe-haven assets such as gold and commodities benefit.<\/p>\n MF Fund founder Micha\u00ebl van de Poppe said<\/a> if gold continues to gain, there\u2019s \u201cmax panic taking place on the markets, as people run into risk-off assets.\u201d<\/p>\n #Bitcoin<\/a> vs. Gold is breaking down.<\/p>\n The current valuation of #Bitcoin<\/a> hasn\u2019t been this low vs. Gold ever before.<\/p>\n It\u2019s similar to the periods of 2022 and 2018, the bottoming periods of those times.<\/p>\n Gold keeps accelerating upwards, the more it goes vertical, the faster we get\u2026 pic.twitter.com\/GpnlFzC8M8<\/a><\/p>\n \u2014 Micha\u00ebl van de Poppe (@CryptoMichNL) January 20, 2026<\/a><\/p>\n\n The broader crypto market is a bloodbath today, with Ether dumping 7% in a fall below $3,000 again, hitting $2,925 and returning to December lows.<\/p>\n There were also substantial losses for Binance Coin, Monero, and Hyperliquid, but most altcoins were down 3-4% on the day. Canton (CC) was bucking the trend with a 12% gain on the day.<\/p>\n Total market cap had fallen to the lower bounds of its sideways channel at $3.08 trillion at the time of writing. It needs to hold key support here to avoid falling into a full bear market and prolonged crypto winter.<\/p>\n The post Gold Surges, Bitcoin Tanks Below $88,000 in Biggest Sell-off of 2026<\/a> appeared first on CryptoPotato<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" Total market capitalization is down 4% on the day as markets have shed more than $200 billion since the weekend.\u00a0Bitcoin has led the losses, falling briefly below $88,000 during early trading in Asia on Wednesday morning, but it appears America is leading the sell-off. BTC has now lost 10% in just seven days as it […]<\/p>\n","protected":false},"author":0,"featured_media":128706,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-128705","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/128705"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=128705"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/128705\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/media\/128706"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=128705"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=128705"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=128705"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Tariffs, Japanese Bonds, and Geopolitics<\/h2>\n
Elsewhere on Crypto Markets<\/h2>\n