The bounce didn't stick. Crypto futures dropped to fresh session lows as traders watched developments unfold at Davos, with macro events pulling focus from the market.

What we saw: The initial rally couldn't hold. Sellers stepped in, and by midday, positions had unwound across the board. Bitcoin and major altcoin futures both felt the pressure as confidence wavered.

Why it matters: Whenever attention shifts to major geopolitical or economic events, liquidity dries up and volatility spikes. Right now, with everyone's eyes elsewhere, it's the perfect setup for stop-hunts and aggressive liquidations. Traders who had positioned for continued upside got trapped, and the cascade of forced selling accelerated the decline.

The narrative: This kind of whipsaw action is textbook market behavior when uncertainty dominates. Until we get clarity on the macro front, expect choppy conditions and thin conviction buying.