Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnSquareMore
Bitcoin Updates Today: Bitcoin Shows Strength as Fed's Shift to Dovish Stance Eases Powell's Ambiguity

Bitcoin Updates Today: Bitcoin Shows Strength as Fed's Shift to Dovish Stance Eases Powell's Ambiguity

Bitget-RWA2025/10/29 19:28
By:Bitget-RWA

- Fed Chair Powell's speech triggered sharp Bitcoin swings, dropping 2% before rebounding amid mixed policy signals. - 3.75%-4.00% rate cut and QT pause injected liquidity, boosting crypto inflows as Bitcoin neared $113,000. - Political tensions and Trump's tariff rhetoric added volatility, though markets focused on Fed's dovish pivot. - 80% chance priced for December rate cut, with crypto markets embracing easing cycle despite Powell's uncertainty.

Bitcoin experienced significant volatility during Federal Reserve Chair Jerome Powell's latest

, dropping sharply before rebounding as traders reacted to conflicting signals about the central bank’s future policy direction. The crypto market underwent a swift and dramatic sell-off after Powell expressed uncertainty regarding upcoming rate reductions, but quickly recovered as investors adjusted their outlooks. This event highlighted how acutely digital assets respond to U.S. monetary policy changes, with trading close to $113,000 at the time of reporting.

Bitcoin Updates Today: Bitcoin Shows Strength as Fed's Shift to Dovish Stance Eases Powell's Ambiguity image 0

The market turbulence began after Powell spoke at a press conference following the Fed’s October 29 rate reduction. Although markets had anticipated a 25-basis-point cut—the first since 2023—Powell’s cautious approach regarding December’s decision triggered a rapid selloff. Bitcoin fell by nearly 2% immediately after his statements, resulting in $304 million in liquidations, based on data from crypto analytics firms. The losses were quickly reversed as traders interpreted Powell’s comments as an indication that more easing could be on the horizon, though not assured.

The Fed’s move to lower rates to a target range of 3.75%-4.00% was largely interpreted as a shift toward a more supportive policy stance, which has historically benefited risk assets such as Bitcoin,

. The central bank also announced it would conclude quantitative tightening (QT) by December 1, a move expected to boost market liquidity, . Still, Powell’s reluctance to promise further cuts in December, citing a lack of data due to the government shutdown, introduced more uncertainty. “We are not on a predetermined course,” he stressed, unsettling traders.

Bitcoin’s rebound reflected a broader wave of optimism about the Fed’s dovish turn. The cryptocurrency climbed above $110,500 after the announcement, with crypto investment funds

over the past week. Additionally, some investors committed $400 million to BTC as Trump met with China’s Xi, . At the same time, experienced outflows, while alternative coins like and attracted smaller but noteworthy investments. Analysts observed that lower interest rates and a weaker dollar tend to drive capital toward Bitcoin, reinforcing its reputation as “digital gold.”

The Fed’s rate reduction and the pause in QT are part of a broader easing trend that has already lifted crypto markets. Since September, Bitcoin has risen nearly 10%, regaining ground lost during October’s volatility caused by Trump’s tariff threats and the government shutdown. The current surge coincides with growing institutional interest, as spot Bitcoin ETFs have attracted $30.2 billion in inflows so far this year.

Powell’s comments also sparked political debate. President Trump

for what he called the Fed’s “slow” approach to rate cuts during a visit to South Korea, urging faster action to counteract the economic impact of his new tariffs. Such statements added to market uncertainty, though most experts believe that actual policy decisions, rather than political rhetoric, will determine Bitcoin’s direction.

Investors are now focused on the Fed’s December meeting, where another rate cut is widely expected. Markets currently estimate an 80% probability of a 25-basis-point reduction, with additional easing anticipated in 2026. For now, Bitcoin’s strength suggests that crypto markets are welcoming the Fed’s policy shift, even as they await

in November.

0

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.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

DASH surges 30.39% over the past week amid strategic growth moves and positive analyst revisions

- DoorDash's DASH stock fell 10.59% in 24 hours but surged 30.39% in 7 days, driven by a strategic Old Navy partnership expanding retail delivery services. - Acquisitions of Deliveroo and autonomous delivery partnerships with Coco Robotics, plus $10.72B revenue and 49.2% gross margin, strengthened market leadership. - Analysts raised price targets to $260 with "Outperform" ratings, citing growth potential despite a high 98.1 P/E ratio reflecting market optimism. - Technical analysis shows bullish reversal

Bitget-RWA2025/11/16 20:34

Aster News Today: Optimism Faces Prudence: ASTER Approaches $1.21 Following RSI CEO's 16% Stake Sale

- Aster (ASTER) rose 8% toward $1.21 as Binance-backed DEX hit $3T in cumulative trading volume. - RSI CEO sold 16% stake ($11M+), raising doubts despite Q2 revenue growth (19.7%) and EPS beat. - ASTER faces mixed signals: bullish triangle pattern vs. declining fees, 50% open interest drop, and stagnant adoption. - Analysts remain divided: RSI's 22% YTD gain contrasts with ASTER's uncertain breakout potential amid waning trader enthusiasm.

Bitget-RWA2025/11/16 20:02
Aster News Today: Optimism Faces Prudence: ASTER Approaches $1.21 Following RSI CEO's 16% Stake Sale

The ChainOpera AI Token Crash: An Urgent Warning for Cryptocurrency Projects Powered by AI

- ChainOpera AI's COAI token collapsed 96% in late 2025, exposing systemic risks in AI-driven DeFi ecosystems. - Centralized governance (10 wallets controlled 87.9% supply) and misaligned incentives exacerbated panic selling during crises. - Technical flaws included untested AI models with 270% increased vulnerabilities and inadequate smart contract security audits. - Regulatory shifts like the GENIUS Act compounded liquidity challenges, highlighting the need for compliance-ready AI crypto projects. - Inve

Bitget-RWA2025/11/16 20:00
The ChainOpera AI Token Crash: An Urgent Warning for Cryptocurrency Projects Powered by AI