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Bitcoin News Today: Bitcoin's Decline Signals Broader Market Caution Ahead of Upcoming Fed Policy Meeting

Bitcoin News Today: Bitcoin's Decline Signals Broader Market Caution Ahead of Upcoming Fed Policy Meeting

Bitget-RWA2025/10/31 06:02
By:Bitget-RWA

- Bitcoin fell 1.56% to $112,412 as investors awaited the Fed’s policy meeting amid global volatility and technical resistance. - Crypto market cap dropped to $3.9T, but institutional inflows hit $921M weekly, with Ethereum and altcoins facing sharp declines. - Fed’s FOMC meeting and $567M in liquidations drove caution, while Tom Lee’s $320M ETH purchase signaled institutional bullishness. - Trump Media partnered with Crypto.com on a regulated prediction market, reflecting crypto’s growing integration into

Bitcoin Pulls Back as Global Markets Remain Unsettled and Investors Watch for Fed Guidance

On October 28, 2025, Bitcoin (BTC) slipped to $112,412, reflecting a 1.56% drop over the previous day as traders exercised caution ahead of the U.S. Federal Reserve’s crucial policy announcement. This decline followed a period of sideways movement after a recent rally, with the cryptocurrency hovering near $114,000 earlier in the week. Experts attribute the downturn to a combination of global economic uncertainty, evolving regulations, and technical barriers, as outlined in a

.

Bitcoin News Today: Bitcoin's Decline Signals Broader Market Caution Ahead of Upcoming Fed Policy Meeting image 0

The overall cryptocurrency sector echoed this negative mood, with total market value dropping to $3.9 trillion.

(ETH) lost more than 3%, settling at $3,946, while alternative coins such as Pi (PI) and Story (IP) fell by 12% and 8% respectively. Despite the broader selloff, institutional interest remained strong, with global crypto investment products seeing $921 million in net inflows for the week, according to Mudrex CEO Edul Patel. Publicly traded firms, including Strategy, acquired an additional $43.4 million in BTC during this time, as reported in a .

Analysts identified the upcoming U.S. Federal Open Market Committee (FOMC) meeting as a major source of investor caution. “Bitcoin is consolidating as market participants grow wary ahead of the FOMC decision,” Patel commented, adding that resistance is seen at $116,900, with support around $111,400. The Fear & Greed Index, which measures market sentiment, stayed at 42, indicating a neutral outlook with less panic and slowly returning confidence, according to Business Standard.

Meanwhile, forced liquidations intensified the downturn. Data from CoinGlass revealed $567 million in crypto positions were liquidated in the past day, with 72% impacting long trades. The decline coincided with the debut of spot altcoin ETFs, which initially sparked optimism but led to profit-taking as attention shifted to potential Fed rate reductions and quantitative easing, as also discussed in the Coinpedia article.

In other news, seasoned investor Tom Lee’s $320 million Ethereum (ETH) acquisition further boosted institutional sentiment in the crypto space. As reported by

, his total ETH holdings now stand at $9.4 billion, representing 2.8% of the entire supply, signaling a positive long-term outlook. CryptoFront News also highlighted that Tech, a company linked to Ethereum reserves, reported a 189% jump in earnings per share, pointing to increasing institutional adoption.

Regulatory changes and new market initiatives also played a role. Trump Media & Technology Group revealed a collaboration with Crypto.com to introduce “Truth Predict,” a federally regulated prediction market integrated into its Truth Social platform, according to a

. This project, which uses CFTC-approved infrastructure, highlights a broader trend of bringing crypto-based financial services to mainstream audiences, as described in a .

Even with short-term turbulence, experts remain cautiously positive. Patel emphasized Bitcoin’s durability, noting it is trading just 9% below its all-time high of $126,198 set on October 7. “With greater economic clarity and renewed institutional buying, another upward move is possible,” he stated, as referenced by Business Standard.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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