BTCUSD Today, January 20: Dips Under $90K as Tariff Fears Hit Crypto
Tariff fears rattled crypto today as BTCUSD briefly dipped below $90,000 before rebounding near $93,633.53. Many in Canada are asking if they should sell bitcoin or wait for calmer prices. Turnover rose about 14% into weakness, a sign of near-term volatility. We break down the drivers, the key technical levels, and how this risk-off tone could hit Canadian crypto stocks and CAD-based portfolios. Our goal is a clear game plan for the next sessions.
Why Bitcoin slid under $90,000 today
Fresh tariff threats shifted investors toward safer assets, pressuring crypto and growth exposures. The bid for protection rose while leveraged risk positions trimmed. Bitcoin’s drop below $90,000 reflected a quick reset in sentiment, not a liquidity gap. With election rhetoric in focus, traders prioritized capital preservation, reduced beta, and tighter risk limits, waiting for clarity on policy timelines and trade responses that could affect cross-border flows.
Selling arrived on heavier activity, with trading volume up roughly 14% into the morning downdraft. That pattern points to elevated near-term swings if tariff headlines persist. Crypto-exposed equities underperformed broader benchmarks as beta and funding sensitivity bit into returns, according to early session reads and desk chatter. For more context on today’s narrative shift, see reporting from Bloomberg.
The technical picture in numbers
RSI sits at 48.91, a neutral reading. MACD is -245.82 versus a Signal of -967.46, leaving a positive Histogram of 721.64 that hints at improving momentum. ADX at 25.89 suggests a firm trend. ATR is 3,252.65, about 3.5% of price, indicating wider daily ranges. These readings support disciplined entries and exits rather than impulsive decisions to sell bitcoin during spikes.
The 50-day average is 90,298.276 and the 200-day is 105,730.6907. Immediate resistance sits near the Bollinger upper band at 93,209.41 and the Keltner upper at 96,610.62. Initial support aligns with the Bollinger middle at 88,709.05, then 84,208.69. The year high is 126,296.0. Respecting these levels can improve reward-to-risk on both long and short setups.
What it means for Canadian portfolios
Canada-listed miners and brokers tend to amplify bitcoin’s moves because of operating leverage and financing costs. On tariff scare days, they often lag broader TSX sectors. Cross-border headlines and U.S. equity sentiment can compound that pressure, even when local news is light. For background on the shift toward safety and away from crypto, see Yahoo Finance.
Canadian investors face two layers of risk: BTC price and USD/CAD. Even if BTC rebounds in USD, CAD strength can trim gains when marked to Canadian dollars. Margin rates, borrow fees, and miner financing terms can widen during risk-off periods. Hedging FX or sizing positions smaller can reduce volatility without forcing a decision to sell bitcoin at weak levels.
Strategy: When to buy or sell Bitcoin today
Consider patience near known levels. For buys, watch pullbacks toward 90,298.276 and 88,709.05, with tight stops below 84,208.69. For sells, monitor rejection near 93,209.41 and 96,610.62. Use ATR of 3,252.65 to size positions. Decide to sell bitcoin or add only with a clear plan, predefined exits, and strict sizing to keep losses small.
Trend context matters. Price sits below the 200-day average of 105,730.6907, but above the 50-day at 90,298.276. Baseline model marks: 1-month 92,791.0, 1-year 95,894.0036, 3-year 120,797.9523, 5-year 145,675.7640, 7-year 170,579.7126. These are directional, not guarantees. Long-term investors can stagger buys and only sell bitcoin on thesis breaks, not on one headline.
Final Thoughts
Tariff headlines pushed bitcoin below $90,000, then back near $93,633.53, with a clear rise in activity that flags choppy trading. For Canadians, the task is to balance BTC swings with CAD exposure and funding costs. We prefer plans over impulses: map resistance near 93,209.41 to 96,610.62, support around 90,298.276, 88,709.05, and 84,208.69, and size trades to ATR. Crypto stocks can move more than BTC on stress days, so keep position sizes modest. If you plan to sell bitcoin, do it at technical levels with a stop and a reason. If you add, scale in and hedge FX. Let data, not emotion, drive the next move.
FAQs
Is today a good time to sell bitcoin after the drop?
Only if your plan says so. Use resistance zones near 93,209.41 and 96,610.62, and set a stop. If your thesis is intact, scaling on dips toward 90,298.276 or 88,709.05 may fit better. Avoid emotional trades and size to ATR.
What bitcoin levels matter most right now?
Near-term resistance is around 93,209.41 and 96,610.62. Key support sits at 90,298.276, then 88,709.05 and 84,208.69. The 200-day average at 105,730.6907 frames the longer trend. Use these levels to define entries, exits, and risk.
How could tariff risk affect crypto this week?
Escalating tariff talk tends to push investors toward safer assets, tightening risk budgets. That can lift volatility and pressure crypto-beta stocks. Expect sharp intraday moves when headlines hit. Keep orders staged, reduce leverage, and review stops before key policy remarks.
How should Canadian investors manage CAD exposure in bitcoin?
Track BTC moves in USD and the USD/CAD rate. A BTC rebound in USD can be offset by a stronger Canadian dollar. Consider partial FX hedges, smaller position sizes, or staggered entries. Align margin use with ATR to reduce forced exits on volatility.
Disclaimer:
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.
