Quick Breakdown
- Bitcoin retests $90K after Trump halts Greenland tariffs; crypto markets show cautious recovery.
- U.S. Senate crypto bill delayed, leaving regulatory clarity uncertain for BTC and other digital assets.
- Macro events, including Japan CPI and BoJ policy, influence crypto liquidity and market sentiment.
Cryptocurrency markets are cautiously recovering after the U.S. President Donald Trump abandoned planned tariffs on eight European nations involved in the Greenland dispute, easing geopolitical tensions.
— Bybit (@Bybit_Official) January 22, 2026
Trump steps back, risk appetite returns
Bitcoin, which recently reclaimed $97,000, is now retesting the psychologically important $90,000 level. While broader risk appetite has returned, BTC’s momentum remains fragile, reflecting market caution.
Part of the subdued crypto rebound is linked to the U.S. Senate Banking Committee delaying a key crypto market bill until late February or March. The legislation aims to clarify regulatory roles between the SEC and CFTC and establish rules for crypto market structure. Until these measures are enacted, Bitcoin and other digital assets are trading more like high-beta risk instruments than safe havens.
Macro signals influence crypto movement
Traditional financial markets are influencing crypto performance. The S&P 500 has recovered most of its recent losses, while gold remains above $4,800, and silver is near record highs. Long-term Japanese Government Bond yields have fallen, alleviating some earlier market stress.
Investors are now focused on upcoming macro events, including Japan’s December CPI and Core CPI, the Bank of Japan’s policy decision, and U.S. November PCE data. Economists expect no change to the BoJ target rate of 0.75%, with two rate hikes predicted by year-end. These developments could affect crypto liquidity and market sentiment as traders weigh macro stability against regulatory uncertainty.
For now, Bitcoin’s $90,000 level acts as a key barometer, while the market awaits policy clarity. With geopolitical and macro risks still in play, crypto investors remain cautious, highlighting the sensitivity of digital assets to external economic and political shifts.
Meanwhile, analysts suggest the classic cycle, which often signals a bear market following previous BTC peaks, may no longer fully determine price behaviour. Instead, new sources of demand, supportive macro conditions, and regulatory backing could fuel upside momentum.
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