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Trump Cancels EU Tariffs: Bitcoin Rebounds Above $90K – Full 2026 Crypto Rally Guide

Published & Updated: January 22, 2026 | Tapbit Macro & Geopolitical Desk

President Trump announced late January 21, 2026 that the previously threatened February 1 tariffs on eight European NATO countries (Denmark, Norway, Sweden, France, Germany, UK, Netherlands, Finland) have been cancelled following a framework agreement on Greenland access and security cooperation. The de-escalation removed a major geopolitical overhang that had fueled risk-off flows earlier in the month, immediately triggering a broad risk-on rotation across equities, crypto, and growth assets. Bitcoin surged back above $90,000 (currently trading ~$90,073–$90,866), Ethereum gained +3.4%, and the total crypto market cap climbed toward $3.24–3.26T. This guide explains the policy pivot, immediate market mechanics, technical structure, sentiment shift, and actionable trading setups on Tapbit for the unfolding momentum phase.

Post-Tariff Cancellation Market Snapshot (Jan 22, 2026)

Asset / IndexCurrent / High24h Change48h ChangeKey Note
Bitcoin (BTC)$90,073 – $90,866+3.1%+5.4%Reclaimed $90K level
Ethereum (ETH)$3,000 – $3,038+3.4%+6.8%Relative outperformance
Total Crypto Market Cap~$3.24–3.26T+2.8%+4.1%Reversing earlier $3.21T low
Fear & Greed Index48–52Up from 24 (extreme fear)Entering neutral/greed zone
Gold (XAU/USD)$4,680–$4,700–0.8% to –1.2%Safe-haven unwind underway
US Dollar Index (DXY)~99.20–0.6%Reversing recent strength

Timeline & Details of the Greenland Framework Deal

  • Jan 19–20: Trump threatens 10% tariffs (escalating to 25% by June) unless Greenland sovereignty transferred
  • Jan 21 late US time: Framework agreement reached with Denmark/Greenland authorities
  • Jan 22 early: Official cancellation of Feb 1 tariffs announced
  • Key terms: Expanded U.S. military access, rare-earth mineral cooperation, joint Arctic security framework (no full sovereignty transfer)
  • European response: Denmark & other nations welcome de-escalation; immediate trade-war risk removed

Why the Tariff Pause Triggered a Sharp Risk-On Rebound

The cancellation acted as a classic de-risking catalyst:

  • Removed near-term US-EU trade conflict probability
  • Reduced uncertainty around global supply chains & commodity flows
  • Allowed capital rotation back into growth/risk assets
  • Lowered safe-haven demand (gold & DXY reversed)
  • Improved sentiment for high-beta assets including crypto
  • Reinforced narrative that Trump administration is ultimately crypto-friendly

Technical Structure After the Rebound

Bitcoin (BTC) – Current ~$90,073–$90,866

  • Reclaimed $90K psychological level → short-term bullish confirmation
  • Support zone $88,800–$90,000 held strongly during fear phase
  • Next resistance cluster: $92,500 (prior swing high) → $94,000–$95,000
  • RSI (daily): ~54–58 → bullish territory, not yet overbought
  • Funding rates: flipped back positive → longs paying shorts again

Ethereum (ETH) – Current ~$3,000–$3,038

  • Reclaimed $3,000 psychological level
  • Support: $2,900–$3,000 zone
  • Resistance: $3,200–$3,300 (recent high cluster)

Tapbit Trading Strategies for the Post-Tariff Risk-On Phase

  1. Create your Tapbit account (0% maker fees)
  2. Deposit USDT via P2P or card
  3. Spot momentum: Accumulate BTC/ETH on pullbacks toward $89,500–$90,000 / $2,950–$3,000
  4. Futures continuation: Long BTC/USDT or ETH/USDT perpetuals on clean break above $91,650 / $3,100 (20–50x leverage, isolated margin)
  5. Risk-off hedge: Keep small short positions on higher-beta alts if new tariff headlines emerge
  6. Risk control: Max 1–2% account risk per trade; use isolated margin & trailing stops

Conclusion

Trump’s cancellation of the Greenland-linked 10% tariffs (previously set for February 1, 2026) after reaching a framework agreement has removed a major geopolitical overhang and triggered a sharp risk-on rotation across markets. Bitcoin’s reclaim of $90,000 and Ethereum’s relative strength (+3.4%) reflect classic de-risking mechanics: lower uncertainty → reduced safe-haven demand → capital flowing back into growth & risk assets. The setup favors continued upside potential through 2026, provided no new shocks emerge.

Ready to trade the risk-on rotation on Tapbit?

Disclaimer: This article is for informational purposes only and does not constitute investment or trading advice. Cryptocurrency markets are highly volatile and subject to geopolitical announcements, policy changes and macroeconomic shifts. Always conduct your own research (DYOR) and never invest more than you can afford to lose completely.

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