Why Is Crypto Down Today? – October 29, 2025

Why Is Crypto Down Today? – October 29, 2025

The global cryptocurrency market is experiencing a downturn today, with a total market capitalization decreasing by 1.6% to $3.89 trillion, as reported by CoinMarketCap. Despite the overall decline in major assets, the 24-hour trading volume has shown a slight increase, reaching $171 billion.

Key Takeaways:

The total crypto market cap has dropped 1.6% to $3.89 trillion.
Bitcoin (BTC) saw a decrease of 2% to $112,859, while Ethereum (ETH) fell 3% to $3,991.
The Crypto Fear and Greed Index fell to 39, indicating fear in the market.
Bitwise’s Solana ETF attracted $69.5 million in its debut.
The Federal Reserve is expected to lower interest rates by 25 basis points.
U.S. spot Bitcoin ETFs recorded $202.48 million in inflows.
Ethereum ETFs saw even higher inflows, totaling $246.02 million.
Trump Media’s Truth Social has partnered with Crypto.com to initiate prediction markets.

Cryptocurrency Performance: Winners and Losers

As of now, Bitcoin (BTC) has decreased by 1.5% in the past 24 hours and is trading at $112,859.

Ethereum (ETH) has dropped by 3% to $3,991. Other notable declines include BNB, down 2.1% to $1,111, and Dogecoin (DOGE), which fell by 3.1% to $0.1939, marking one of the sharpest declines among the top ten cryptocurrencies.

XRP (XRP) was the only major asset that gained ground, increasing by 0.5% to $2.64. Solana (SOL) also saw a minor dip, falling 1.9% to $196.34.

Among the top 100 tokens, only a few are showing gains today. Diverge Loop (DIVER) is leading the gainers with an impressive rise of 88.5%, while Vutlsig (VUT) has seen a significant drop of 31.9%, positioning it among the day's biggest losers.

Enso, Arcblock, and ChainOpera AI are the trending coins from the past day, attracting attention across the market.

The new spot Solana ETF from Bitwise Asset Management is notably popular, witnessing $69.5 million in inflows on its launch day, a figure significantly higher than its nearest competitor.

Upcoming Federal Reserve Rate Cut: Impacts on Crypto Market

Traders anticipate a 25-basis-point rate cut announcement from the Federal Reserve today, lowering the benchmark range to 3.75%–4%. This move is being watched closely as it may indicate future liquidity measures from the Fed.

Market participants are also looking for signals regarding the Fed's potential approach toward reducing balance-sheet runoff—this could lead to increased liquidity in financial markets. The dollar has weakened alongside expectations of a broader easing cycle.

Bitget CEO Gracy Chen expressed that the markets are currently in a state of uncertainty, caught between optimism and caution. A dovish tone from the Fed could benefit risk assets like cryptocurrencies, while a hawkish stance may lead to a swift decline.

Fed Chair Jerome Powell's statement and press conference at 2 p.m. ET will be crucial for gauging future policy directions.

In light of a potential rate cut, Bitget’s chief analyst Ryan Lee noted it could lead to a short-term rally of 5% to 10% for Bitcoin and Ethereum, as lowered borrowing costs may enhance risk appetite. This shift could result in capital flowing toward altcoins like Solana and XRP, making cryptocurrencies more appealing as growth and inflation hedges.

Additionally, this week is important for the macroeconomic landscape, with the Bank of Japan meeting and earnings reports from major tech companies like Microsoft, Apple, Alphabet, Amazon, and Meta.

Key Levels and Events to Monitor

As of now, Bitcoin is trading at $112,760, reflecting a slight 0.15% decrease over the past day. Throughout the session, Bitcoin remained fairly stable, peaking around $113,800 before dipping to about $111,900.

A significant breakout above $115,000 could open the path towards $118,200 and $121,000, indicating renewed bullish momentum. Conversely, if it fails to maintain levels above $112,000, it may revisit the $110,500 support zone, where buying interest previously appeared.

Currently, Ethereum is trading at $3,986, experiencing a slight uptick of 0.16% in the last 24 hours. Ethereum touched a session high of about $4,050 before retreating to $3,920.

If Ethereum breaks past $4,100, it might challenge key resistance levels at $4,250 and $4,400. However, a drop below $3,900 could lead to a decline towards $3,750, potentially reaching the $3,600 range.

Currently, market sentiment has reverted into the fear zone, with the Crypto Fear and Greed Index at 39, down from yesterday's neutral level of 42. Compared to last week's reading of 29 (fear), sentiment has shown a slight improvement but remains cautious. The index reveals a market still in recovery from recent volatility and short on clear bullish trends.

On October 28, Bitcoin spot exchange-traded funds (ETFs) enjoyed $202.48 million in net inflows, indicating robust institutional interest. The cumulative total for these ETFs now stands at $62.34 billion, with a total trading value of $4.18 billion and $154.81 billion in net assets, representing 6.88% of Bitcoin’s market cap.

Out of the twelve listed ETFs, three reported positive inflows, led by Ark & 21Shares (ARKB) with $75.84 million, followed by Fidelity’s FBTC with $67.05 million, and BlackRock’s IBIT at $59.60 million.

Similarly, spot Ethereum ETFs witnessed a notable rebound on October 28, recording net inflows of $246.02 million, breaking their brief slowdown trend. The cumulative total net inflow for these ETFs has increased to $14.73 billion.

Among the nine listed ETFs, four registered positive inflows, with Fidelity’s FETH leading with $99.27 million, followed by BlackRock’s ETHA at $76.37 million and Grayscale’s ETH at $73.03 million.

In a significant development, Trump Media and Technology Group, which owns Truth Social, announced a partnership with Crypto.com to launch prediction markets on its platform. This makes it the first publicly traded social media company to integrate such technology.

Through this collaboration, users of Truth Social will be able to trade on the outcomes of various real-world events, including elections, economic indicators, sports, and commodities, enhancing the platform's user engagement and interactive capabilities.