Cryptocurrency

Bitcoin

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<div class="key-points-section">
 <b>Key Points:</b>
 <ul>
  <li>QCP Capital highlights Japan bonds and US-Europe tariffs affecting Bitcoin.</li>
  <li>Bitcoin dropped below $90,000 due to perceived risk factors.</li>
  <li>Market shows limited appetite for risk amid global tensions.</li>
 </ul>
</div>  
<p>QCP Capital reported January 21 from Singapore that heightened global market risk aversion, due to Japanese bond yields and US-Europe trade tensions, caused Bitcoin to dip below $90,000.</p>   
<p>This development highlights Bitcoin's sensitivity to geopolitical and macroeconomic shifts, impacting investor sentiment and potentially affecting capital preservation strategies within the cryptocurrency market.</p>  
<h2 id="japanese-bond-yields-trigger-bitcoin-price-drop">Japanese Bond Yields Trigger Bitcoin Price Drop</h2> 
<p>QCP Capital, a Singapore-based crypto investment firm, analyzed the impact of increased <strong><a href="https://coincu.com/markets/japan-bond-yields-rate-hike/" data-type="link" data-id="https://coincu.com/markets/japan-bond-yields-rate-hike/">Japanese bond yields</a></strong> and US-European trade tensions on global markets. <strong>Japan's bond yields have now reached 2.29%</strong>, the highest since 1999, which has raised concerns about fiscal sustainability. The trade tensions include a <strong>tariff announcement by the US on eight European countries opposing US interests in Greenland</strong>, potentially escalating disputes valued at approximately $650 billion annually.</p> 
<p>Due to these developments, Bitcoin fell below $90,000, unable to maintain its role as a hedge and instead acting like a risk-sensitive asset. QCP Capital's analysis pointed out that global markets have shifted to a risk-averse stance, affecting liquidity and dampening Bitcoin’s recent growth despite a subsequent rally past $97,000.</p> 
<p>Market reactions have been aligned with the shift towards risk aversion. <em>QCP Capital, Cryptocurrency Investment Firm, "Bitcoin, gold and silver rallied during early Asian hours as the US dollar sold off sharply."</em> <a href="https://www.qcpgroup.com/insights/qcp-asia-colour-3">QCP Asia Colour Report</a> QCP Capital's analysis predicts a cautious market approach amid geopolitical and economic uncertainties, <strong>with investors now focusing on preserving capital and avoiding systemic risks</strong>. No major statements from industry leaders or regulators have been observed following these events.</p> 
<h2 id="bitcoin-s-price-and-global-market-dynamics">Bitcoin's Price and Global Market Dynamics</h2> 
<p style="background-color: #222222; color: #ffffff; padding: 10px; border-radius: 5px;"><strong>Did you know?</strong> Japan's debt-to-GDP ratio has exceeded 240%, a level that raises fiscal sustainability concerns, echoing challenges not seen since 1999.</p> 
<p>According to <a href="https://coinmarketcap.com">CoinMarketCap</a>, Bitcoin is currently priced at $89,334.16, with a market cap of $1.78 trillion and a dominance of 59.24%. The cryptocurrency has seen a 1.65% decline over the past 24 hours and a more significant drop of 18.35% over 90 days. Trading volume remains volatile, marking a 47.84% change in the last 24 hours.</p>  
<figure class="wp-block-image aligncenter size-large"> <a href="https://coincu.com/wp-content/uploads/2026/01/Bitcoin-daily-chart-on-0938-UTC-on-January-21-2026file.jpeg"> <img src="https://coincu.com/wp-content/uploads/2026/01/Bitcoin-daily-chart-on-0938-UTC-on-January-21-2026file.jpeg" alt="bitcoin-daily-chart-5775" class="wp-image-390282"> </a> 
 <figcaption class="wp-element-caption">
  Bitcoin(BTC), daily chart, screenshot on CoinMarketCap at 09:38 UTC on January 21, 2026. <em>Source: <a href="https://coinmarketcap.com/currencies/bitcoin/" target="_blank" rel="noreferrer noopener">CoinMarketCap</a></em>
 </figcaption> 
</figure>  
<p><a href="https://twitter.com/ForkLog">Coincu's</a> research team highlighted the potential for regulatory developments in response to geopolitical tensions. These developments could influence risk assessments in cryptocurrency markets. <strong>Technologically, Bitcoin remains sensitive to global liquidity shifts</strong>, although market responses could vary based on evolving fiscal and geopolitical dynamics.</p>  
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    <td><em><strong>DISCLAIMER</strong>:&nbsp;The information on<a href="https://coincu.com/"> this website</a> is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.</em></td>
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<p>The post <a href="https://coincu.com/uncategorized/bitcoin-risk-aversion-global-markets/">Bitcoin Dips as Global Markets Enter Risk-Averse Mode</a> was initially published on <a href="https://coincu.com/">Coincu</a>.</p>

Bitcoin Dips as Global Markets Enter Risk-Averse Mode

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