Bitcoin’s safe-haven narrative under pressure amid Greenland tariff concerns

Bitcoin (BTC $90,427.02) saw its “digital gold” narrative take a hit on Monday as prices fell and traders reduced expectations for a rapid push to $100,000 by the end of January. The decline followed U.S. President Donald Trump’s threat of new tariffs on Denmark and seven other European countries.

Trump announced on Saturday that nations opposing his plan to acquire Greenland, an autonomous Danish territory, would face a 10% tariff. The European Union pushed back, defending Greenland’s sovereignty and condemning the move as hostile to free markets and economic stability.

The geopolitical tension hit crypto sentiment. On the decentralized prediction platform Polymarket, the odds of bitcoin reaching $100,000 dropped to 27%, down from nearly 50% on Friday and 72% on Jan. 15.

Bitcoin briefly slipped toward $92,000 early Monday, according to CoinDesk data. The selloff extended across the crypto market, with CoinDesk indexes for memecoins, metaverse, computing, DeFi, and culture & entertainment each falling more than 7%. Asian and European stocks also retreated, while gold surged to record highs, reflecting a classic flight-to-safety move.

The move highlights bitcoin’s continued correlation with equities despite its “digital gold” image, which frames it as a safe-haven alternative to precious metals during periods of macroeconomic and geopolitical uncertainty.

“Bitcoin has fallen for a fifth consecutive day, retreating from November highs while struggling to hold above $92,000,” said Samer Hasn, senior market analyst at XS.com. He attributed the decline to profit-taking and a broader risk-off shift amid rising U.S. political and trade tensions.

On the positive side, bitcoin and ether spot ETFs drew $1.4 billion and over $500 million in inflows last week—the strongest since October. Large investors, or “whales,” holding 1,000–10,000 BTC increased activity by 28% over the past week, according to BGeometrics.

Analysts caution that sustaining these trends will be key for a meaningful rebound. Laser Digital noted that near-term price action depends on U.S.–EU tariff developments, ongoing Middle East geopolitical risks, and upcoming events including the Davos forum, U.S. GDP and core personal consumption expenditures data, and a pending Supreme Court ruling on Trump’s tariffs.