Invest ideasNews
20 Jan 2026, 03:00
Trade War Headlines Trigger $800M In Liquidations Overnight: Longs Get Wiped Out Across Crypto Markets
The crypto market faced a sharp selloff overnight as renewed trade conflict fears between the United States and the European Union shook global risk sentiment. Bitcoin and major altcoins reversed recent gains, with traders reacting to fresh tariff headlines and the possibility of escalating economic retaliation on both sides of the Atlantic. While crypto is often viewed as a separate market, this move once again showed how quickly digital assets can behave like high-beta risk trades when macro uncertainty spikes. Related Reading: Monero Triggers Retail Alert That Preceded ZEC And DASH Drops As Privacy Coin Hype Returns According to analyst Darkfost, the liquidation impact was immediate and aggressive. More than $800 million worth of leveraged positions were wiped out in a matter of hours, including roughly $768 million in long liquidations. The scale of long closures suggests that traders were positioned for continuation to the upside, but were caught offside as prices rolled over sharply. What stood out most was where the damage occurred. Darkfost noted that Hyperliquid recorded the largest share of forced liquidations, with $241 million, while Bybit followed closely with $220 million. The wave of liquidations appears partly tied to the announcement of new tariffs targeting Europe, which triggered an equally fast response from EU policymakers, reigniting the broader “trade war” narrative across markets. CME Opens the Door to Fresh Volatility Darkfost warns that the timing of this selloff matters as much as the liquidation size. As soon as CME trading opened, Bitcoin saw a sharp downside move, suggesting that institutional flows and macro-linked positioning played a direct role in the shakeout. In past risk-off episodes, the CME open has often acted like a volatility trigger, especially when markets are already fragile, and leverage is elevated across major exchanges. This is why the next few hours are critical. The same type of move could easily repeat at the opening of the US markets, where liquidity conditions and headline sensitivity tend to amplify reactions. If sellers press again, the market could see another cascade of forced closures, particularly in high-beta altcoins that remain vulnerable after the overnight wipeout. Related Reading: XRP Whale Inflows To Binance Hit Their Lowest Level Since 2021: Accumulation Behavior? The message is straightforward: stay cautious and avoid overexposure to leverage while the macro backdrop remains unstable. Liquidations can create sharp bounces, but they can also reset momentum quickly if fear spreads across risk assets. Darkfost adds that attention should remain on incoming political updates. The market is now trading the narrative, not just the chart. Further statements could arrive at any moment, and as history has shown, Trump often delivers market-moving headlines right in the middle of the weekend. Bitcoin Holds Fragile Rebound As Crypto Tests Macro Nerves Bitcoin is trading near $93,100 after a sharp rejection from the $96,000–$97,000 supply zone. The chart shows BTC still struggling below key moving averages, with momentum capped by the declining blue trendline overhead. This reinforces the idea that the latest upside attempt was more of a rebound than a clean trend reversal. Structurally, price is forming higher lows after the violent breakdown from the $110,000 area. However, the rebound remains vulnerable as long as BTC stays trapped beneath resistance and fails to reclaim the mid-$90,000s with conviction. The recent candles also highlight hesitation, with wicks suggesting aggressive selling into strength. Related Reading: Bitcoin Bull Score Hits Level Seen Only 7 Times In 6 Years – A Rare Historical Signal The red long-term moving average is rising near the low-$90,000s, acting as a potential dynamic support zone. If Bitcoin holds above that level, it keeps the recovery structure intact and prevents a deeper reset toward prior liquidity pockets. This matters for the broader crypto market. When BTC remains range-bound under resistance, altcoins usually struggle to sustain rallies and become more sensitive to liquidation-driven volatility. Risk appetite can return quickly, but it requires Bitcoin to break above resistance and hold. Until then, crypto remains in a fragile stabilization phase, not a confirmed bullish continuation. Featured image from ChatGPT, chart from TradingView.com
20 Jan 2026, 03:00
‘Bigger Orange’ – Michael Saylor signals Strategy’s next mega Bitcoin buy
How Strategy’s 2026 Bitcoin accumulation has just shifted gears.
20 Jan 2026, 03:00
U.Today Crypto Review: XRP's Biggest Price Bounce; Shiba Inu (SHIB) Not Giving Up; Ethereum (ETH) Breakout Attempt Number 3
Market took $800,000,000 hit today, which is essentially hinting at the end of a recovery period for most assets.
20 Jan 2026, 02:55
Bitcoin Capitulation: Holders Sell at a Loss for 30 Straight Days, First Streak Since 2023
BitcoinWorld Bitcoin Capitulation: Holders Sell at a Loss for 30 Straight Days, First Streak Since 2023 Global cryptocurrency markets witnessed a significant behavioral shift in late December and January 2025, as Bitcoin holders collectively sold their holdings at a loss for thirty consecutive days. This prolonged period of realized losses marks the first such capitulation streak since October 2023, according to on-chain data analyzed by CryptoQuant senior analyst Julio Moreno. The trend provides a crucial, data-driven window into current investor sentiment and potential market phase transitions. Analyzing the 30-Day Bitcoin Capitulation Streak On-chain analytics firm CryptoQuant identified this sustained selling pattern through its Spent Output Profit Ratio (SOPR) metric. Essentially, the SOPR indicates whether spent Bitcoin outputs are moving at a profit or a loss. A value below 1.0 signifies coins are being sold for less than their purchase price. For thirty days straight, the aggregate SOPR remained below this threshold, signaling widespread loss realization across the network. Consequently, this metric serves as a powerful gauge of market pain and investor psychology. Historically, prolonged periods of capitulation, where investors surrender and sell at a loss, often correlate with local price bottoms or significant trend exhaustion. The last comparable event occurred in October 2023, preceding a substantial multi-month rally in Bitcoin’s price. However, market analysts consistently warn that past performance never guarantees future results. This current streak suggests a potential flushing out of “weak hands” or short-term speculators, which can sometimes lay a foundation for a more stable market. The Mechanics of On-Chain Loss Tracking Blockchain transparency allows firms like CryptoQuant to track the lifecycle of every Bitcoin. By analyzing the creation (mining) and subsequent movement (spending) of UTXOs (Unspent Transaction Outputs), they can estimate the price at which coins were originally acquired. When these coins are later spent on-chain, the service compares the acquisition price to the spot price at the time of the new transaction. This process generates the SOPR. A sustained sub-1.0 SOPR, therefore, is not a survey or sentiment poll; it is a direct measurement of real economic decisions recorded immutably on the Bitcoin blockchain. Contextualizing the Current Crypto Market Cycle To understand the importance of this 30-day streak, one must examine the broader market cycle. Bitcoin experienced a major bull run throughout 2024, driven by institutional adoption and regulatory clarity in key jurisdictions. Following a peak, the market entered a consolidation and correction phase in late 2024. This period of price decline naturally increases the probability that recently purchased coins will be underwater. The extended loss-selling likely reflects the culmination of this corrective pressure. Furthermore, macroeconomic factors in early 2025 contributed to risk-off sentiment across traditional and digital asset markets. These factors include: Interest Rate Environment: Persistent high central bank rates increased the opportunity cost of holding non-yielding assets. Geopolitical Tensions: Ongoing global conflicts continued to inject volatility into all risk markets. Regulatory Developments: Evolving digital asset frameworks in the US and EU created short-term uncertainty. This confluence of crypto-specific and macro forces created a challenging environment for holders, prompting the observed behavioral shift. Historical Precedents and Market Psychology The October 2023 capitulation period provides the most recent parallel. After a similar streak of loss-selling, Bitcoin’s price found a strong support level and commenced a rally that lasted for several quarters. Market veterans often reference these phases as necessary resets. They transfer assets from impatient or over-leveraged investors to those with longer time horizons. While not a perfect indicator, sustained capitulation frequently appears in the latter stages of a bear market or a deep correction within a bull market. Recent Bitcoin Capitulation Periods Comparison Period Duration (Days) Approximate Price Range Subsequent 90-Day Trend June 2022 ~45 $18k – $20k Sideways/Consolidation October 2023 ~28 $26k – $28k Strong Rally Initiated December 2024 – January 2025 30+ To be determined To be determined Expert Analysis and Data Interpretation Julio Moreno, the CryptoQuant senior analyst who highlighted the data, emphasized the quantitative nature of the finding. “The data shows what it shows—a clear, month-long trend of realized losses,” Moreno stated in his analysis. He cautioned against simplistic interpretations, noting that on-chain data reflects what has happened, not what will happen. Other analysts point to complementary metrics for a fuller picture. For instance, exchange net flows, miner reserve data, and the activity of long-term holder cohorts provide additional context. If loss-selling coincides with coins moving off exchanges and into cold storage, it could signal accumulation. Conversely, if coins move to exchanges during capitulation, it may indicate further selling pressure. Preliminary data from January 2025 showed mixed signals, suggesting a complex battle between fearful sellers and strategic accumulators. The Role of Long-Term Holders (LTHs) A critical distinction exists between short-term holders (STHs) and long-term holders (LTHs). STHs, who held coins for less than 155 days, are statistically more likely to panic-sell during downturns. The recent loss-selling streak is likely dominated by this cohort. Meanwhile, the supply held by LTHs often remains resilient or even grows during such periods, as experienced investors may use volatility to increase positions. Monitoring the divergence between STH and LTH behavior is therefore essential for gauging market health beneath the surface price action. Potential Impacts and Market Implications The primary impact of sustained loss-selling is the potential reset of the market’s cost basis. As higher-cost coins are sold, the average price at which the remaining supply was acquired may decline. This process can reduce overhead selling pressure in the future, as fewer holders sit on unrealized losses. Additionally, it can improve the health of derivatives markets by reducing excessive leverage built on optimistic sentiment. For the broader cryptocurrency ecosystem, Bitcoin’s sentiment often acts as a tide that lifts or lowers all boats. Extended Bitcoin capitulation can lead to: Reduced liquidity and trading volume across altcoin markets. Increased correlation among major digital assets as investors treat the sector as a single risk unit. A slowdown in venture capital funding and project development as risk appetite wanes. However, these phases also separate robust projects with real utility from speculative ventures, potentially strengthening the ecosystem long-term. Conclusion The unprecedented 30-day streak of Bitcoin holders selling at a loss provides a clear, on-chain signal of current market stress and investor capitulation. As the first such event since October 2023, it marks a significant moment in the current market cycle, reflecting the impact of both crypto-native corrections and broader macroeconomic headwinds. While historical parallels exist, each market phase is unique. This data point is a crucial piece of the puzzle for understanding market structure, but it must be analyzed alongside exchange flows, macroeconomic indicators, and regulatory developments. Ultimately, the sustained loss-selling by Bitcoin holders represents a classic market cleansing mechanism, the long-term implications of which will be revealed by subsequent investor behavior and price action. FAQs Q1: What does it mean when Bitcoin holders “sell at a loss”? It means they are selling their Bitcoin for a lower US dollar value than the price at which they originally acquired it, thereby realizing a financial loss on the transaction. This is measured on-chain using metrics like the Spent Output Profit Ratio (SOPR). Q2: Why is a 30-day streak of loss-selling significant? Sustained periods of capitulation are relatively rare. A 30-day streak indicates a prolonged, collective shift in investor behavior from holding through downturns to accepting losses, which often occurs near potential market inflection points or after significant price declines. Q3: Did a similar event happen before? Yes. The most recent comparable streak occurred in October 2023, which lasted approximately 28 days and preceded a major rally. Other significant capitulation periods include mid-2022 during the previous bear market. Q4: Does this guarantee the Bitcoin price will go up soon? No. While such capitulation can indicate a selling exhaustion point and has preceded rallies historically, it is not a guarantee. It is one data point among many, and markets remain influenced by macroeconomics, regulation, and unforeseen events. Q5: How do analysts track this data? Analysts use on-chain data from the public Bitcoin blockchain. By tracking the movement of coin outputs and comparing their creation price (from when they were mined or last moved) to their spending price, services can calculate whether a transaction was profitable or not at the network level. This post Bitcoin Capitulation: Holders Sell at a Loss for 30 Straight Days, First Streak Since 2023 first appeared on BitcoinWorld .
20 Jan 2026, 02:52
Bitcoin options open interest peaks at $74.1 billion, onchain data shows
Bitcoin options open interest has surpassed futures trading volume for the first time in history, signifying a shift in investor behavior and deeper market sophistication. The BTC options open interest peaked at $74.1 billion according to onchain data from Checkonchain. BTC options open interest has surged as institutions join the crypto bandwagon. The crypto asset’s options open interest casts a shadow on the futures market volume. For the first time in history, BTC options open interest has outperformed the futures trading volume on major exchanges such as Binance, OKX, and Bybit, as well as other platforms such as IBIT and Deribit. Bitcoin options open interest peaks at $74.1 billion, onchain data shows According to data from the blockchain analysis platform Checkonchain, BTC options open interest peaked at $74.1 billion, while Bitcoin futures open interest trailed at $65.2 billion. The data shows that the majority of BTC options open interest is on IBIT and Deribit. At the same time, centralized exchanges such as OKX and Bybit have the lowest BTC open interest, according to the data. IBIT recorded $37.12 billion Bitcoin option open interest, while Deribit followed closely behind with $30.84 billion. Among exchanges, Bybit led the pack with $918.085 million, followed by Binance with $965.066 million. The notable shift in market dynamics indicates a change in investor behavior toward structured, risk-managed strategies. Options give investors the flexibility to hedge and speculate on Bitcoin’s future prices while simultaneously controlling risk. Options are typically more beneficial to institutional investors and experienced traders because they offer greater risk control, unlike the futures market, which is much more rigid and prone to losses. Bitcoin hashrate declines by 15% since October’s peak BTC is trading at $93,189, down 2.11% over the last 24 hours, according to CoinMarketCap. Bitcoin hashrate has also declined by 15% since October’s peak, indicating miner capitulation amid narrowing profit margins. Bitcoin’s average computing power has fallen from 1.1 zettahashes per second (ZH/s) in October to roughly 977 exahashes per second (EH/s). Data from Glassnode shows the Hash Ribbon metric, which tracks miner capitulation by comparing short- and long-term hashrate trends, inverted on November 29, shortly after Bitcoin bottomed near $80,000. The inversion typically signals that miners are selling their BTC holdings to fund operations, putting bearish pressure on Bitcoin’s price. According to VanEck, a global investment management firm and crypto ETF issuer, miner capitulation may signal a bottom and an imminent rally in BTC towards new highs. A previous coverage by Cryptopolitan revealed that when BTC’s hashrate decline persisted, the market typically responded with larger and more frequent rallies. Another report highlighted that Bitcoin miners were shifting to renewable energy sources as cash prices fell below breakeven levels. The report noted that miners shifted to renewable energy sources to cut costs. In April 2025, miners shifted away from coal to adopt wind and solar energy as the main drivers of the high-energy activity. A report titled “Mining the Future: Bitcoin’s Carbon Footprint and the Path to 2030” highlighted that 70% of the energy used for Bitcoin mining will be from renewable sources by 2030. Additional selling pressure is also associated with the rise of AI technology, which has led miners to partially or fully transform into data center operators. Firms such as Riot Platforms (RIOT) offloaded part of their bitcoin holdings to raise capital for capital-intensive AI and HPC investments. The sell-offs contribute to short-term price pressures, causing Bitcoin’s decline. Data from SosoValue shows that spot Bitcoin ETFs in the U.S. recorded outflows of more than $390 million on January 18, marking the first day of negative flows after a four-day streak of positive flows witnessed last week. U.S President Donald Trump threatened the UK and several EU countries with a possible 10% tariff hike for rallying behind Greenland as the U.S. prepares for a takeover. The tariff threat sent risk assets, such as crypto, into sharp decline, while safe havens like Gold and Silver rallied. Want your project in front of crypto’s top minds? Feature it in our next industry report, where data meets impact.
20 Jan 2026, 02:43
Bitcoin Price Action Turns Unsteady, Downside Threat Grow
Bitcoin price started a fresh decline below $94,000. BTC is consolidating losses and remains at risk of more losses if it dips below $91,500. Bitcoin started a sharp decline below $94,000 and $93,000. The price is trading below $93,000 and the 100 hourly Simple moving average. There is a bearish trend line forming with resistance at $94,600 on the hourly chart of the BTC/USD pair (data feed from Kraken). The pair might continue to move down if it stays below the $94,000 zone. Bitcoin Price Turns Red Bitcoin price failed to stay above the $93,500 support and started a fresh decline . BTC declined sharply below the $93,000 and $92,500 support levels. The bears even pushed the price below $92,000. A low was formed at $91,866, and the price is now consolidating losses. There was a minor recovery wave above the 23.6% Fib retracement level of the recent decline from the $95,475 swing high to the $91,866 low. However, the bears remained active near $93,200. Besides, there is a bearish trend line forming with resistance at $94,600 on the hourly chart of the BTC/USD pair. Bitcoin is now trading below $93,000 and the 100 hourly Simple moving average. If the price remains stable above $92,000, it could attempt a fresh increase. Immediate resistance is near the $92,800 level. The first key resistance is near the $93,200 level. The next resistance could be $93,650 or the 50% Fib retracement level of the recent decline from the $95,475 swing high to the $91,866 low. A close above the $93,650 resistance might send the price further higher. In the stated case, the price could rise and test the $94,000 resistance. Any more gains might send the price toward the $94,500 level. The next barrier for the bulls could be $95,000 and $95,500. Downside Break In BTC? If Bitcoin fails to rise above the $93,650 resistance zone, it could start another decline. Immediate support is near the $92,000 level. The first major support is near the $91,800 level. The next support is now near the $91,200 zone. Any more losses might send the price toward the $90,500 support in the near term. The main support sits at $90,000, below which BTC might accelerate lower in the near term. Technical indicators: Hourly MACD – The MACD is now gaining pace in the bearish zone. Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level. Major Support Levels – $92,000, followed by $91,800. Major Resistance Levels – $93,650 and $94,000.
