Bitcoin moved higher on January 5, approaching the $93,000 level as geopolitical tensions resurfaced following comments by US President Donald Trump on potential actions involving Colombia and Mexico. The price increase came days after a US military operation in Venezuela, which markets appeared to absorb with limited disruption. Analysts said the latest gains reflected Bitcoin’s sensitivity to geopolitical risk rather than any single macro catalyst.
Speaking over the weekend, Trump criticized Colombia’s role in cocaine trafficking and suggested that tougher US action, including military measures, could be considered. He also warned that “something is going to have to be done” in Mexico after President Claudia Sheinbaum rejected US assistance in combating cartels. The remarks extended uncertainty across Latin America, a region already under scrutiny after Venezuela’s leadership was removed in a surprise operation.
PRESIDENT TRUMP JUST NOW:
Trump: "Colombia is run by a sick man, he's not going to be doing it for very long."
Reporter: "So there will be an operation by the US in Colombia?"
Trump: "Sounds good to me." pic.twitter.com/66fQM7cEIY
— The Kobeissi Letter (@KobeissiLetter) January 5, 2026
Geopolitical Signals and Market Response
Bitcoin rose roughly 3% from late-week levels near $90,000, trading just below $93,000 as global markets digested the comments. Unlike previous geopolitical flashpoints, the Venezuela operation produced little immediate volatility, in part because it concluded before prolonged uncertainty could develop. Market participants noted that crypto assets held steadier than oil and emerging market currencies during the initial response.
Trump’s comments also referenced Cuba, a key Venezuelan ally, which he described as economically fragile following disruptions to its oil supply. The broader rhetoric reinforced perceptions of an assertive US foreign policy stance early in the year. For some institutional investors, such dynamics continue to frame Bitcoin as an asset that can attract flows during periods of political stress.
Broader Macro and Institutional Context
The move higher in Bitcoin occurred alongside relatively muted action in traditional risk assets. Equity markets were mixed, while volatility measures remained contained, suggesting that crypto-specific positioning and portfolio rebalancing may have amplified the price response. Institutional flows into Bitcoin-linked products have remained resilient into early January, supporting spot prices.
Analysts cautioned that while geopolitical headlines can drive short-term momentum, sustained upside typically depends on liquidity conditions and regulatory clarity. With US monetary policy expectations largely unchanged and digital asset regulation progressing incrementally, Bitcoin’s recent advance underscores its growing role as a macro-sensitive asset rather than a purely speculative trade.
As geopolitical developments unfold across the Americas, market participants are closely watching whether crypto markets continue to absorb uncertainty with relative stability compared to traditional assets.