Bitcoin (BTC) Faces Pressure as S&P 500 Reaches New Heights Ahead of Fed Decision
Zach Anderson Oct 30, 2025 01:40
Bitcoin struggles around $113,000 as the S&P 500 hits record highs. Market anticipates Federal Reserve's interest rate decision, impacting both crypto and traditional markets.
Bitcoin (BTC) is experiencing a significant downturn, trading around $113,000, as the S&P 500 index achieves unprecedented levels. This divergence in performance comes as the market braces for the Federal Reserve's upcoming interest rate decision, according to Cointelegraph.
Bitcoin's Volatile Retest Amid Market Uncertainty
On the eve of the Fed's anticipated rate cut announcement, Bitcoin's price action has been notably unstable. After peaking at $116,000, BTC has struggled to maintain its range highs, with analysts suggesting key price targets of $111,000 and $114,500 for a potential recovery. The cryptocurrency's 21-week exponential moving average (EMA) near $111,000 is a critical level to watch, as pointed out by market analyst Rekt Capital.
Rekt Capital highlighted the importance of a weekly close above $114,500 to confirm a successful retest. Meanwhile, trader Daan Crypto Trades noted the significance of the 200-period EMA on four-hour time frames, currently at $113,100, emphasizing the resistance levels at $116,000 and $107,000.
S&P 500 Soars as Fed Rate Cut Looms
While Bitcoin faces challenges, the S&P 500 has surged to a new all-time high of 6,914. This optimistic movement is fueled by expectations of a 0.25% rate cut by the Federal Reserve, a move typically seen as favorable for both crypto and traditional markets.
However, trading resource QCP Capital suggests that the Fed's decision may not significantly impact the markets. They anticipate the Fed will proceed with the rate cut without offering new guidance, considering the lack of official economic data due to the U.S. government shutdown.
As the crypto market navigates this period of volatility, stakeholders remain cautious, aware of the inherent risks involved in investment and trading decisions. The Federal Reserve's announcement will be closely watched for any signals that could influence market dynamics further.
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