Bitcoin trades near $79,000 as Fed rate uncertainty, selling pressure weigh on crypto markets
Synopsis
Bitcoin slipped near $79,000 as investors awaited the Federal Reserve’s policy decision. ETF outflows, macroeconomic uncertainty and selling pressure weakened sentiment, while traders monitored $78,000 support, inflation data and institutional demand for potential market direction.
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Bitcoin slipped near the $79,000 mark on Tuesday as investors turn cautious ahead of the US Federal Reserve’s monetary policy meeting on October 27–28. The cryptocurrency was last trading at $79,562.
In the past 24 hours, Bitcoin and Ethereum were down 1.09% each. Among other major altcoins, BNB, Solana, Tron, Dogecoin and Cardano corrected upto 1.72% whereas XRP and Hyperliquid gained upto 1%.
Vikram Subburaj, CEO, Giottus, said uncertainty over the Fed’s policy outlook and renewed selling pressure are weighing on sentiment. US spot Bitcoin ETFs recorded $635.6 million in net outflows on October 22, followed by another $137.9 million on October 23 and these withdrawals have weakened the earlier recovery in institutional demand and added to market caution.
Crypto TrackerTOP COINS (₹) Midas Fasanara Global Euro10,646,129 (-0.12%)Tether95 (-0.16%)BNB70,229 (-0.38%)Bitcoin7,583,885 (-0.76%)Ethereum219,776 (-0.83%)Also Read |Mankind Pharma shares jump 8% as Q2 profit rises 38% to Rs 716 crore
Investors should avoid trying to catch a falling market. Consider staggered entries, maintain measured position sizes and monitor Bitcoin’s $78,000 support, ETF flows and the Fed’s guidance before increasing exposure, he further said.
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The global crypto market capitalisation went down 0.67% to $2.67 trillion, according to the data on Coinmarket cap. Bears continue to hold a tight grip over the market as Bitcoin is failing to reclaim levels above $80,000, said CoinDCX Research Team.
Over the last week, Bitcoin was down 2.16% and Ethereum was down 3.11%. Among the major altcoins, Solana, Dogecoin, Hyperliquid and Cardano corrected upto 5.80% whereas BNB and XRP gained upto 1.14%.
Nischal Shetty, Founder, WazirX said Crypto markets moved higher as improving equity sentiment and expectations of a Federal Reserve pause helped offset pressure from elevated yields, a stronger dollar and expensive energy.
Shetty further said that ETF flows remain important, but profit-taking, exchange supply, macro conditions and technical resistance can delay or offset their immediate effect on prices.
Market perspective
CoinSwitch Markets Desk: BTC continues to trade around $80K as investors assess a busy week of economic events. The upcoming Fed meeting, US inflation figures and earnings from major technology companies will be key drivers of market sentiment.
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Prateek Gupta, Head of Business, Mudrex: Bitcoin continues to hover around $80,000 as weakness in AI-linked tech stocks weighed on crypto sentiment. Along with Wednesday’s FOMC meeting, the US midterm elections remain key catalysts for price action. Support has now moved to $78,500, with resistance standing at $81,000.
Avinash Shekhar, Co-Founder & CEO, Pi42: Bitcoin is holding close to $80,000 after a period of sustained selling, and there are early signs that the market may be approaching a stabilisation phase. For investors, the next phase is about distinguishing price stabilisation from a genuine trend reversal. Reclaiming $82,000 and sustaining that level would be an encouraging signal, particularly if accompanied by stronger spot-market demand.
Riya Sehgal, Research Analyst, Delta Exchange: Crypto markets remain under pressure as Bitcoin trades around the $80,000 mark and Ethereum near $2,300, with the broader structure still tilted bearish ahead of the Federal Reserve decision.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
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