Crypto Market Update: Trump’s Tariff Threats Trigger US$875 Million Crypto Liquidation Wave

Bitcoin and Ether price update

Bitcoin (BTC) was priced at US$93,068.00, down by 2.3 percent over 24 hours.

XS market analyst Samer Hasn told the Investing News Network that Bitcoin's slump has been fueled by geopolitical friction and US political risks, particularly the stalled US Federal Reserve leadership transition.

A price recovery is being prevented despite a resurgence in institutional demand, but the long-term bull case for decentralized assets is strengthening against the potential demise of dollar dominance.

Farzam Ehsani, CEO of VALR, noted that digital assets are bleeding harder than stocks, while assets like silver are rallying. The divergence between crypto and other risk assets shows crypto-specific fragility. Until interest rate cuts or serious institutional flows happen, he believes Bitcoin will keep struggling to hold high ground.

Ether (ETH) was priced at US$3,214.01, down by 3.8 percent over the last 24 hours.

Altcoin price update

• XRP (XRP) was priced at US$2, down by 2.6 percent over 24 hours.

• Solana (SOL) was trading at US$134.61, down by 5.4 percent over 24 hours.

Today's crypto news to know

Tariff shock rattles crypto as Trump targets Europe

Crypto markets sold off sharply after President Donald Trump said the US will impose escalating tariffs on eight European countries in a dispute tied to Greenland, triggering a rapid risk-off move.

According to derivatives data, roughly US$875 million in leveraged crypto positions were liquidated within 24 hours, which was further amplified by thin holiday liquidity. Bitcoin slid about 3 percent to near US$92,000, with most forced unwinds coming from bullish bets caught wrong-footed by the geopolitical jolt.

European leaders signaled retaliation, adding to broader market uncertainty across equities, FX and digital assets.

The proposed tariffs would start at 10 percent in February and rise to 25 percent by June.

Saylor hints at more Bitcoin buys after billion-dollar week

Strategy's (NASDAQ:MSTR) Michael Saylor is again fueing speculation of another Bitcoin purchase just days after the company disclosed a US$1.25 billion addition to its holdings. In a weekend post, he shared a chart tracking Strategy’s past buys, a signal he has repeatedly used ahead of formal announcements.

The company has already added nearly 15,000 BTC since the start of the year, bringing total holdings above 687,000 bitcoin. Those coins were accumulated at an average price in the mid-US$75,000 range.

Still, Strategy’s equity has lagged as investors weigh the risks of heavy leverage and ongoing capital raises. The firm continues to rely on instruments like convertible notes to fund purchases without immediate cash strain.

Dormant Bitcoin whale cashes out after 12 years

One of Bitcoin’s long-silent early holders has resurfaced, selling a large portion of coins accumulated in 2012 and locking in a staggering gain. Blockchain data shows the wallet sold roughly 2,500 BTC at prices above US$100,000, turning an original outlay of just over US$300 per coin into hundreds of millions of dollars.

The realized return exceeds 31,000 percent, making it one of the most profitable long-term exits in Bitcoin’s history.

RBI proposes linking BRICS CBDCs to streamline cross-border trade

Citing anonymous sources, Reuters said the Reserve Bank of India (RBI) has proposed linking official central bank digital currencies (CBDCs) of BRICS member nations to streamline cross-border trade and tourism payments.

This development builds on the 2025 Rio de Janeiro Declaration, where BRICS leaders called for greater interoperability between their payment systems. India is set to host the BRICS summit later this year, and the RBI has reportedly recommended that the government include this initiative on the formal agenda.

Though the RBI frames the move as a technical efficiency improvement, the proposal would create a financial infrastructure less reliant on the US dollar and SWIFT. To manage currency accumulation, the plan reportedly considers bilateral foreign exchange swap arrangements for periodic net position settlement.

The initiative requires agreement on interoperable technology and regulation. Currently, while all core BRICS members have CBDC pilot projects, none have fully launched a retail version.

NYSE to launch platform, enable 24/7 trading and on-chain settlement

The New York Stock Exchange (NYSE) announced the development of a platform for trading and settling tokenized securities that will enable around-the-clock trading of US-listed equities and exchange-traded funds.

According to a press release, the platform will offer immediate on-chain settlement using tokenized capital and stablecoins, and investors will be able to trade fractional shares with orders sized in dollar amounts. Tokenized shares will retain traditional dividends and governance rights for shareholders.

The NYSE is currently seeking regulatory approval to launch this new digital venue. The system combines the NYSE’s existing Pillar matching engine with blockchain technology.

The exchange's parent company, Intercontinental Exchange (NYSE:ICE), is working with banks like BNY and Citi to support tokenized deposits and collateral management.

Bermuda partners with Circle, Coinbase to enable world's first on-chain economy

The Bermuda government announced a partnership with Circle Internet Group (NYSE:CRCL) and Coinbase Global (NASDAQ:COIN) to become the world's first fully on-chain national economy.

According to key details of the announcement, Circle and Coinbase will provide the digital asset tools and infrastructure needed to integrate blockchain technology into Bermuda's everyday financial systems. The initiative aims to lower transaction costs for local businesses and residents by using USDC for payments and settlement.

The plan includes piloting stablecoin-based payments for government agencies, technical onboarding for local banks and insurers and nationwide digital literacy programs.