Crypto Markets Edge Lower as Investors Weigh Macro Data

Crypto markets turned lower on Wednesday, Jan. 7, as investors digested new U.S. labor data and rising geopolitical tensions involving the U.S., Venezuela, and Russia.

Bitcoin (BTC) is trading at $91,225, down about 0.6% over the past 24 hours but still up 4.2% over the past week. Ether (ETH) changed hands around $3,150, down 2% on the day and up about 6% over the past seven days.

“Bitcoin drifted lower toward the low-$92,000s after failing to extend its early-year recovery, as geopolitical risk and an incoming wave of U.S. macro data capped upside momentum,” said Iliya Kalchev, a Nexo Dispatch analyst, in comments shared with The Defiant.

“Even so, price action remains orderly, with BTC holding within a well-defined range after much of the excess leverage from late 2025 was already cleared,” Kalchev added.

Among other large-cap tokens, XRP fell 1.7% to $2.19, though it remains up 19.5% over the past week. BNB slipped 0.2% to about $897, while Solana (SOL) declined 1.5% to $135, per The Defiant’s price page.

Midnight is the top mover of the day, rising 3.8% to $0.078, while memecoin Pepe gained 2.4%. Tron (TRX) also edged up 2.1%. On the downside, Canton fell 4.9% to $0.135, while Mantle and Worldcoin declined 3.3%.

The total cryptocurrency market capitalization stood at roughly $3.21 trillion, down about 1% over the past 24 hours, according to CoinGecko. Total trading volume during the same period reached about $129 billion.

Liquidations and ETF flows

Roughly $278 million in leveraged positions were liquidated over the past 24 hours, according to data from Coinglass. Long positions accounted for approximately $197 million, while short liquidations stood near $81 million.

Ethereum recorded the largest share of liquidations at about $77 million, followed by Bitcoin with roughly $75.2 million. Additional liquidations were spread across other tokens, including Solana at $15.3 million and XRP at $11 million.

In the exchange-traded fund (ETF) space, Bitcoin spot ETFs recorded $243.24 million in net outflows on Jan. 6, while Ethereum spot ETFs added nearly $115 million. XRP spot ETFs attracted $19 million in inflows, and Solana spot ETFs added over $9 million, per SoSoValue data.

Cooling Job Market

Today's slight downturn comes as U.S. labor data released on Wednesday pointed to a cooling job market.

Job openings fell more than expected in November, and hiring slowed, according to the latest Job Openings and Labor Turnover Survey (JOLTS). The data suggests demand for workers is easing as businesses remain cautious about hiring.

At the same time, private payrolls rose modestly in December, with employers adding 41,000 jobs, according to ADP.

Elsewhere, precious metals moved lower on Wednesday, with gold and silver pulling back after recent gains. Gold fell about 0.7% to around $4,456 per ounce, while silver dropped roughly 3.6% to about $78 an ounce.

Geopolitical Tensions Escalate

Geopolitical tensions continued to simmer on Wednesday after U.S. forces seized two oil tankers on Wednesday, The New York Times reported. This included a Russian-flagged vessel accused of violating U.S. sanctions related to Venezuela.

The move marked a further escalation in Washington’s efforts to restrict Venezuelan oil exports and enforce sanctions. Markets are now closely watching the situation for any potential impact on global energy supply.

This came as Secretary of State Marco Rubio outlined a three-step plan for Venezuela earlier today, in Washington, D.C.