Gold hits hard, cryptocurrencies drop by $150 billion – what’s going on?


The cryptocurrency market lost $150 billion in market value when the price of Bitcoin fell below $88,000 amid a fierce rush, while the price of gold rose above $4,800 for the first time in history.

The sharp contrast came as President Donald Trump’s threat to impose tariffs on its European allies in Greenland led to increased withdrawals from vulnerable US assets, with political tensions reaching their highest level since the announcement on Independence Day in April 2025.

Bitcoin’s price fell 9% in 48 hours to $87,000, resulting in a loss of $360 million in the one-hour period late Monday.

Source: TradingView

The heavy trading has caused further problems in an already fragile market, with short-term owners (those who have bought Bitcoin in the last 155 days) now in the losing zone for eight straight weeks, needing to recover more than $98,000 to return to profitability, according to Glassnode data.

Market sentiment has fallen sharply over the years

CoinGlass liquidation data revealed that 181,570 traders lost all their money within 24 hours, with $998.33 million of long positions liquidated compared to only $71.39 million of short positions.

The price of forced sales of Bitcoin reached $ 440.19 million, while the price of liquidations of Ethereum reached $ 392.38 million, while the speed of the fall increased during the weak Asian market.

through Rex from R89Capital described the frustration that grips crypto pioneers, saying: “ Emotions have reached an all-time low. Nobody cares about cryptocurrencies at all. Dedicated crypto pioneers who have been day trading for years are now trading losing stocks and commodities.

He added: Things don’t get worse because of the feeling now “, noting that despite the total collapse due to the Covid-19 pandemic, people continued to trust these companies.

And he repeated Another analyst, TheGreekGod11, echoed this frustration, saying that companies have set up ” A very good job of making cryptocurrencies look like garbage “At the beginning of voting The biggest Cryptocurrency supporter for the market to fall.

As he warned Mike Novogratz of this” The price of gold tells us that we are losing our savings at a rapid rate “, adding ” The price of Bitcoin is disappointing because it is still experiencing a selloff “.

He repeated that Bitcoin ” It should go from between $100 and $103,000 to recoup “, although they believe it will happen in time.

foot Joe Consorti disagreed, saying: That the price of Bitcoin fell due to geopolitical upheaval, and not up along with gold and silver, shows the current state of affairs. The most significant asymmetry in markets remains strong.

The rise in gold prices reflects a deep structural change

Gold extended its all-time high to $4,874.21, posting a 2.3% gain and extending a three-month rally that has now pushed the precious metal into the $4,900 range.

According to Journal of Economies Tony Sycamore, a market analyst at IG in Sydney, said that the withdrawal of investment funds reflects ” Losing confidence in the US administration and increasing tension in the international community due to the recent threats of Trump. “.

Daniel Ghaly, chief economist at TD Securities, told the agency Bloomberg The length is interesting. ” Fear of global currency depreciation due to market forces “, adding that ” High gold prices are associated with confidence. In the meantime, faith was shaken, but not lost. If it breaks, the power will last longer “.

Dan Struyven, head of commodity research at Goldman Sachs, said: ” Gold is still our biggest passion “, confirming the bank’s reaction to the rise in the price of gold to $4,900 per ounce, which has risks.

Indeed, He announced Benjamin Quine said bluntly Metals beat cryptocurrencies in 2025 and may do so again in 2026 “, warning that the metal is ready,” Cryptocurrencies are expected to fall sharply “.

Schools are showing increased pressure

Traditional markets suffered similar losses, with the S&P 500 down 2.06% and the Nasdaq Composite falling 2.4% on Tuesday after markets reopened after the Monday holiday.

Strategy’s Bitcoin Holdings reviewed He pointed A scientist named Marton said that “ 40% of Strategy’s Bitcoin offering is currently at a loss “, adding ” The pressure is on “.

eternal The CrediBULL Crypto expert is cautiously optimistic, noting that ” For the first time in 7 months, long-term holders of cryptocurrencies have moved from the group of sellers to buyers “, indicating that the change is imminent.

But expert Ted Bellows to warn Since then” Bitcoin price should be above $89,000. Losing this level will end the short-term uptrend “.

Geopolitical instability makes the transition to a safer place

Trump confirmed on Tuesday that ” There will be no turning back He also expressed his intention to control Greenland, and threatened to impose a 10% tax on eight European countries from February unless they lifted objections to its annexation by the United States.

French President Emmanuel Macron directly criticized Trump’s tactics in Davos, where the European Union planned emergency measures, including retaliatory tariffs worth €93 billion on US exports.

At the moment, no known agreement has been found, because fear is still present in the market.

The fall of Bitcoin along with the risk-adjusted economy, rather than its rise along with gold, has shown that the economy continues to be a speculative asset rather than a proven safety net in times of global crisis.

A note Gold hits hard, cryptocurrencies drop by $150 billion – what’s going on? appeared for the first time Cryptonews Arabic.





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