Bitcoin tops $93,000 briefly as markets absorb US strike on Venezuela

• Bitcoin rises 1.11% in a day, trading above $92,464 amid US-Venezuela tensions
• Crypto market cap up 2% to $3.25T, driven by short liquidations and buybacks
• Altcoins show mixed moves; Virtual Protocol jumps 21%, Canton drops 9.61%

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Bitcoin price stood just above $92,464 on January 5 (10:12 a.m. IST), representing a gain of 1.11 percent in a day and 2.48 percent in a week, largely due to geopolitical tension between the US and Venezuela. The world's largest cryptocurrency dipped to the lowest of $90,899 and peaked at $93,155 during the morning session.

"The crypto market traded higher as investor sentiment improved. The rebound came despite heightened geopolitical tensions after the US strike on Venezuela, which typically pressures risk assets. However, Bitcoin benefited from its safe-haven narrative and strong stablecoin inflows, underscoring resilience ahead of traditional markets reopening.

"Bitcoin benefited from its safe-haven narrative, short-covering near key levels ($91.5K–$93K), and strong stablecoin inflows, underscoring resilience ahead of traditional markets reopening. On the technical front, BTC broke out of a symmetrical triangle on the 2-hour chart, testing resistance at $93K–$94K. A sustained breakout could open targets toward $96K–$97.5K, with support at $91,500 and $90,000," said Riya Sehgal, Research Analyst, Delta Exchange.

The volatility has been observed across other cryptocurrency tokens as well, with ETH up 0.40 percent, ADA down 0.87 percent, SOL up 0.55 percent, XRP up 3.05 percent, and Tether is down 0.01 percent in the past 24 hours.

"Ethereum is approaching $3,200 while XRP surges above $2.1. Solana cleared the crucial resistance at $133, and Chainlink is trading above $13.7. Dogecoin and Cardano also made strong bullish moves, but the top gainer is Virtual Protocol with over a 21% jump, followed by Render and Stacks by 17.38% and 15.92%, respectively. Additionally, Canton drops by 9.61%, followed by MYX Finance by 6.5% and Memecore & Midnight by more than 3% each," said By CoinDCX Research Team.

Check out the cryptocurrency prices on January 5, as of 10:12 a.m (IST).

Why is Bitcoin up? 

According to CoinSwitch Markets Desk, BTC climbed above $93K, with the overall crypto market cap up 2 percent to $3.25T from yesterday. The move was largely driven by a liquidation flush, with around $180 million in futures positions wiped out by yesterday afternoon—mostly shorts—forcing buybacks as prices pushed above $91K and momentum carried higher. BTC holding above $93K will keep the market constructive and support a gradual upside bias.

What’s happening in the crypto market?

Nischal Shetty, Founder of WazirX, said,  "Over the past 24 hours, crypto markets have remained sensitive to macroeconomic and geopolitical developments, reinforcing the view that digital assets are behaving as risk assets rather than standalone safe havens. Bitcoin and major altcoins have tracked broader risk-on and risk-off sentiment, highlighting crypto’s growing correlation with global equities."

Here’s a rundown on what’s happening in the crypto market, according to Shetty:

• Geopolitical shocks have driven short-term volatility, with developments around the US-Venezuela situation triggering rapid repricing across digital assets. This reflects how elevated geopolitical risk premiums are spilling into crypto markets.
• Regional utility-driven adoption narratives are also strengthening, particularly in economies under financial stress.
• In countries facing high inflation and currency instability, cryptocurrencies are increasingly used as functional financial tools rather than purely speculative assets, supporting structural demand.
• Attention is also shifting to supply-side risks. Large dormant Bitcoin holdings linked to state actors could affect market balance if restricted or liquidated.
• Looking ahead, inflation trends, monetary policy direction, and geopolitical risk are expected to remain core drivers of crypto pricing through 2026.
• Momentum indicators, such as RSI and MACD, will remain news-sensitive, with sustained upside dependent on improving global liquidity and risk-on sentiment.