Bitcoin Slides Toward $90K as U.S. 10Y Yields Hit 4.3% — More Dump Ahead?

Bitcoin dropped below $90,000 as U.S. 10-year Treasury yields climbed to 4.30% for the first time since September. The world’s largest cryptocurrency now trades at $89,608, down 3.8% in 24 hours and nearly 4% over the past week.

The selloff erased approximately $215 billion from the total crypto market capitalization. Rising yields and escalating trade tensions between the U.S. and European Union triggered a broad flight from risk assets across global markets.

Meanwhile, traditional safe havens surged to record highs. Gold futures hit $4,700 per ounce while silver broke above $95 per ounce for the first time in history. Since the start of 2026, gold has added roughly $2.7 trillion in market value.

BREAKING: Gold futures officially surge above $4,750/oz for the first time in history, now up another +10% this month.

Gold has now added +$15 TRILLION in market cap in 12 months. pic.twitter.com/BaDiYJfF5U

— The Kobeissi Letter (@KobeissiLetter) January 20, 2026

Trump’s Tariff Threats Rattle Markets, Drag BTC Lower

President Trump announced fresh 10% tariffs on EU imports over the weekend. The move targets Denmark, Norway, Germany, France, Sweden, Finland, the Netherlands, and the U.K. over resistance to a U.S. purchase of Greenland.

Potential escalations include hikes to 25% by June and 200% duties on French wine. This marks the first major tariff escalation in nearly three months, threatening trade flows worth approximately $1.5 trillion.

Following this announcement, European leaders activated what Le Monde described as “trade bazooka” defenses. The geopolitical tensions pushed investors toward traditional safe havens while pressuring risk assets including cryptocurrencies.

U.S. equity markets felt the impact sharply. The Dow dropped 1.5%, the S&P 500 fell 1.2% to around 6,860, and the Nasdaq slid 1.6%. Tech giants Nvidia, Microsoft, Apple, Amazon, and Tesla each lost 2-3%.

The VIX fear gauge surged nearly 28% above the 20 level. Markets worried about a broader trade war echoing 2018 tensions when similar escalations disrupted global financial markets.

Bitcoin ETF Outflows Hit $261 Million as BTC Liquidations Surge

Bitcoin ETFs recorded a daily net outflow of 2,886 BTC, equivalent to $261.68 million. However, the seven-day inflow remains positive at 14,760 BTC, or $1.34 billion, according to Lookonchain data.

Jan 20 Update:#Bitcoin ETFs:
1D NetFlow: -2,886 $BTC(-$261.68M)🔴
7D NetFlow: +14,760 $BTC(+$1.34B)🟢#Ethereum ETFs:
1D NetFlow: 0
7D NetFlow: +172,826 $ETH(+$523.84M)🟢#Solana ETFs:
1D NetFlow: 0
7D NetFlow: +278,838 $SOL(+$35.69M)🟢https://t.co/N276NoMGHK pic.twitter.com/XprqxnX4VX

— Lookonchain (@lookonchain) January 20, 2026

Over $150 million in BTC long positions were liquidated within 24 hours, a 16% increase from the prior day. Open interest stood at $719 billion, amplifying downside pressure as forced liquidations triggered a selling cascade.

Bitcoin’s 24-hour trading volume surged 16.08% to $46.7 billion during the selloff. The price breakdown accelerated after BTC fell below the critical $91,000 support level.

Despite the downturn, Strategy CEO Michael Saylor announced his company acquired 22,305 BTC for approximately $2.13 billion at $95,284 per bitcoin. As of January 19, 2026, Strategy holds 709,715 BTC acquired for $53.92 billion at an average price of $75,979.

Strategy has acquired 22,305 BTC for ~$2.13 billion at ~$95,284 per bitcoin. As of 1/19/2026, we hodl 709,715 $BTC acquired for ~$53.92 billion at ~$75,979 per bitcoin. $MSTR $STRC https://t.co/pJM0Yuy32w

— Michael Saylor (@saylor) January 20, 2026

BTC Breaks Below Key Support as Bearish Signals Mount

Bitcoin trades at $89,687, down 3.16% on the session. The price broke below the 20-day simple moving average at $92,424 and now approaches the lower Bollinger Band at $87,772.

The MACD indicator confirms bearish momentum. The MACD line reads 869.11 against a signal line of 1,081.34, producing a negative histogram of -212.22. The bearish crossover signals deteriorating momentum.

Key support levels include the lower Bollinger Band at $87,772 and the psychological zone between $85,000 and $87,000. Resistance now sits at the 20-day SMA of $92,424 and the upper Bollinger Band at $97,075.

A head-and-shoulders pattern formed between October and December, with the breakdown below the neckline support at $92,000-$93,000 now confirmed. High volume accompanies the decline, suggesting strong conviction selling.

The 200-day SMA sits at $105,734, representing an 18% gap above current prices. For bullish reversal, Bitcoin must reclaim $92,424 with volume and produce a MACD bullish crossover.

The immediate price trajectory remains bearish. Targets include $85,000-$87,000 initially, with $80,000 and $75,000-$78,000 as secondary downside levels if selling pressure continues.