PANews reported on January 20th that, according to Windemute market analysis, Bitcoin recently broke through the $95,000 resistance level and briefly touched $98,000, driven by strong ETF inflows and moderate inflation data. However, on Monday, news of Trump's tariffs on Europe triggered an $850 million long liquidation, causing the price to quickly fall back to around $92,000. This rise was mainly driven by three factors: a significant return of ETF funds (net inflows of $760 million on Tuesday alone and $1.4 billion for the whole of last week), supportive inflation data (core CPI rose 2.6% year-on-year, the lowest since March 2021), and Bitcoin's catch-up trading against hard assets such as gold. However, Trump's announcement on Monday of tariffs on eight European countries put pressure on risk assets across the board, and the crypto market quickly corrected. The report believes that although the liquidation was severe, the rapid clearing of leverage and the absence of a market spiral indicate a healthy correction.
Looking ahead to this week, market focus will be on the Davos Forum, the EU emergency summit, and the core PCE data released on Friday. If Bitcoin can hold above $90,000 and ETF inflows remain positive, the breakout will remain valid; however, a break below this level could lead to a return to the trading range seen since November of last year. The report believes that current buying pressure remains strong, and the key lies in whether the tariff threat will evolve into actual policy; currently, the market tends to view it as "political noise."


