Bitcoin Price Prediction: Will Geopolitical Tensions Push BTC Below $85,000?

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Source: CryptoTicker Original Title: Bitcoin Price Prediction: Will Geopolitical Tensions Push BTC Below $85,000? Original Link: The cryptocurrency market is currently navigating a storm of macroeconomic and geopolitical uncertainty. As of January 22, 2026, Bitcoin is struggling to maintain its footing above the psychological $90,000 mark. While the early weeks of the year showed promise with a rally toward $98,000, a sudden escalation in global trade tensions has shifted the narrative from “moon mission” to “risk-off.”

The Geopolitical Standoff and Its Impact on Crypto

The primary driver of the recent market volatility is the escalating diplomatic and trade dispute involving aggressive geopolitical tensions. This standoff has not only rattled traditional markets but has also forced a repricing of risk assets across the board.

With threats of significant tariffs on several nations, major economic blocs have signaled retaliatory measures. This instability has led investors to flee toward traditional safe havens like gold and silver, which have recently hit all-time highs. Paradoxically, Bitcoin—often touted as “digital gold”—has seen massive outflows, with spot BTC ETFs recording net exits of over $400 million in a single day this week.

Technical Analysis: Breaking Down the Chart

Looking at the 2-hour chart, we can see a clear bearish breakdown from the $94,490 resistance level.

bitcoin chart analysis

Resistance: The yellow line at $94,490 now acts as a formidable ceiling. Bitcoin failed to sustain its position above this level, leading to a sharp correction.

Current Support: We are currently hovering around $89,426. The next major “safety net” sits at $86,645, represented by the lower yellow horizontal line.

Stochastic RSI: The indicator shows that Bitcoin is reaching deeply oversold territory. Historically, this suggests a potential relief bounce in the short term, but in the current risk-off environment, technical indicators can remain suppressed for longer than expected.

If the $86,645 support level fails to hold, analysts warn that a deeper correction toward the $75,000 - $80,000 zone is possible as liquidity continues to dry up.

Is the Bull Cycle Over?

While the short-term outlook remains bearish due to geopolitical tensions, many institutional players remain engaged. The current dip is viewed by some as a necessary deleveraging event. However, for those looking to protect their assets during such high volatility, asset security and exchange safety remain top priorities.

The correlation between Bitcoin and gold is being tested. While gold thrives on chaos, Bitcoin is still behaving more like a high-beta tech asset. Until the trade war rhetoric cools down, expect BTC to remain highly sensitive to every headline from major economic centers.

BTC-0.88%
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