Trump threatens 100% tariffs on Canada as Bitcoin falls to $88,000

Bitcoin price extended its weekly decline to 6.7%, amid threats from Trump to impose 100% tariffs on Canadian imports, as pressure pushed BTC below the key $89,000 level.

BTC is down 1% over the past 24 hours, trading at $88,858 as of 12:34 a.m. EST, with trading volume down 58% to $17.1 billion, according to Coingecko data. The decline in trading volume indicates reduced activity, which supports the current bearish sentiment.

After BTC fell below the ascending triangle, selling pressure intensified, signaling that sellers still control the $90,000 area, which was the previous support, after a sustained decline from the $97,000 level to $98,000.

Trump threatens Canada with 100% tariffs on ongoing trade deal with China

U.S. President Donald Trump said Saturday he would impose a 100% tariff on Canada if it strikes a trade deal with China and warned Canadian Prime Minister Mark Carney that such a deal would put his country at risk.

“China will eat Canada alive, devour it completely, including destroying its businesses, its social fabric and its overall way of life,” Trump wrote on Truth Social. “If Canada enters into an agreement with China, it will immediately face 100% tariffs on all Canadian goods and products entering the United States. »

🚨 BREAKING: President Trump threatens Canada ‘Governor’ Mark Carney with 100% PERCENT TARIFF if he finalizes deal with China

CLASSIC ASSET FAFO 🔥🔥

“If Governor Carney thinks he will make Canada a ‘port of debarkation’ for China to send goods and products to the United States… pic.twitter.com/QZckjKPSj9

– Eric Daugherty (@EricLDaugh) January 24, 2026

Carney had traveled to China this month to repair strained relations between the two countries and secure a trade deal with Canada’s second-largest trading partner after the United States.

The Chinese Embassy in Canada said China is ready to work with Canada to implement the important consensus reached by the leaders of the two countries.

Tensions between the United States and Canada have increased in recent days following Carney’s criticism of Trump’s pursuit of Greenland.

Trump is now suggesting that China would try to use Canada to evade US tariffs.

The constant threat of Trump imposing tariffs has kept markets jittery this month, even after their sharp rise earlier this year.

US Bitcoin ETFs on a five-day outing streak

As the price of BTC continues to fall, US-based Bitcoin exchange-traded funds have extended their outing streak to five days.

Spot BTC ETFs saw $103.5 million in net outflows on Friday, continuing an outflow streak that began the previous Friday.

As a result, total outflows reached approximately $1.72 billion, including the shortened four-day U.S. trading week due to Martin Luther King Jr. Day on Monday, according to Hidden side data.

The releases come as the Crypto Fear and Greed Index, which measures overall crypto sentiment, released an “extreme fear” score in its update.

Santiment crypto sentiment platform said in a report released on Saturday, the crypto market is in “a phase of uncertainty.”

Will the price of BTC continue to fall?

Bitcoin price faces increasing bearish pressure

Bitcoin has struggled to maintain its recent gains, falling back to monthly lows after a brief relief rally earlier in the week. The short-lived bullish move failed to garner strong follow-through, showing continued weakness in the BTC market.

From a technical point of view, the BTC Price has collapsed below its ascending triangle, a pattern that previously suggested a potential continuation of the rise.

This fall below the trend signals a loss of bullish momentum and increases the risk of further decline.

Bitcoin price is now trading below the 50-day simple moving average (SMA) ($90,163), adding to its bearish outlook. This level had served as dynamic support in previous weeks, but has now turned into resistance.

The long-term 200-day SMA at $105,138 remains well above and continues to cap any meaningful recovery attempts. This zone also aligns with an earlier supply zone.

Bitcoin price action is limited, oscillating between around $83,500 and $94,400, a sideways structure that has persisted since late November.

Momentum indicators echo this indecision, with the RSI hovering near 43, suggesting weak buying strength but not yet oversold conditions.

If Bitcoin fails to reclaim $90,000, a move towards the $85,000 demand zone is possible. A confirmed breakdown below this zone could expose the $83,500 support level as the next key downside objective for BTC.

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