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The cryptocurrency market is facing renewed selling pressure, with total market capitalisation slipping 1.6% in the last 24 hours to approximately $3.17 trillion. The downturn is broad-based: 85 of the top 100 digital assets are currently trading in the red, while daily trading volume sits near $105 billion, reflecting cautious participation.
TLDR:
- Crypto market cap is down 1.6% on Tuesday morning (UTC);
- 85 of the top 100 coins and all top 10 coins are down;
- BTC decreased by 1.6% to $91,020, and ETH is down 2.5% to $3,117;
- Bitcoin fell after Donald Trump threatened EU with tariffs and NATO allies over control of Greenland;
- For a more durable rally, maturation supply needs to outweigh LTH spending;
- BTC is moving into a dense LTH supply zone between $93,000 and $110,000 where recovery attempts previously stalled;
- ‘The pullback in digital assets suggests that optimism was on thin ice’;
- ‘Crypto markets are once again spiralling into risk-off mode’;
- A recent spike in activity on the Ethereum network may be partly driven by address poisoning attacks;
- Brian Armstrong said he’s discuss the US crypto market structure in Davos;
- US crypto spot ETFs were closed on Monday and will reopen today;
- Crypto market remained unchanged over the weekend.
📉 Market Overview
Bitcoin (BTC) is down 1.6%, trading around $91,020, while Ethereum (ETH) leads losses among major assets, sliding 2.5% to $3,117. Other large-cap coins such as Tron (TRX) and Lido Staked Ether (STETH) followed with declines close to 2%.
Dogecoin (DOGE) proved relatively resilient, remaining flat near $0.127, making it the least affected asset among the top ten by market cap.
Among the worst performers in the top 100 were Provenance Blockchain (HASH), down nearly 9%, and Monero (XMR), which fell over 7%. On the positive side, Canton (CC) stood out as the only token with double-digit gains, climbing 12.4%, while MemeCore (M) advanced roughly 5%.
🔍 What’s Driving the Pullback?
According to Bitfinex analysts, the market lacks the structural conditions needed for a sustained rally. They argue that for a meaningful recovery to develop, long-term holder (LTH) supply must begin increasing, signalling renewed conviction and lower sell-side pressure.
Bitcoin is currently trading within a heavy overhead supply zone between $93,000 and $110,000, an area that has historically capped recovery attempts. While long-term holders are still distributing coins, the pace has slowed significantly — realised profits have fallen sharply from previous cycle peaks, suggesting selling pressure may be exhausting.
Macro uncertainty is also weighing on sentiment. Fresh geopolitical tension, including renewed tariff threats from US President Donald Trump, has pushed markets into a risk-off stance. This was especially evident during Asian trading hours, where much of Bitcoin’s year-to-date gains were erased.
🛡️ Risk-Off Environment Returns
Market participants are once again rotating toward safer assets. As global equity markets struggled, gold and silver attracted renewed inflows, highlighting a defensive posture among investors. Crypto derivatives markets also saw notable liquidations, reinforcing the cautious mood.
Adding to the noise, security experts flagged a rise in address poisoning attacks on Ethereum, which may be inflating on-chain activity metrics without reflecting genuine user growth.
📊 Key Levels to Watch
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Bitcoin
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Support: $90,000 → $87,600
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Resistance: $95,000
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Ethereum
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Support: $3,000 → $2,880
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Resistance: $3,400
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The Crypto Fear & Greed Index has slipped from 49 to 45, remaining neutral but clearly trending toward caution.
🧭 What Comes Next?
With US markets closed for the Martin Luther King Jr. Day holiday, ETF flow data remains unchanged. However, recent BTC ETF outflows and mixed performance across altcoin ETFs suggest institutional appetite remains selective.
In the short term, volatility may persist. Zooming out, the broader market structure still resembles a consolidation phase rather than a breakdown — a pause that could either resolve lower or act as a base for the next major move.
Source: https://cryptonews.com
