Quick Takeaways
- Bitcoin accrue below $108 000 as dealers lay on the line ahead of key geopolitical events.
- President Trump and President Xi are coif to meet after this calendar month amid ongoing trade tensions.
- Analysts predict excitability to persist as macroeconomic uncertainty shames short-term market sentiment.
Bitcoin Coast Below $108Super C Amid Renewed US-China Trade Tensions
Bitcoin (BTC -2. 88%) skidded below the $108 000 mark other Tuesday as bargain hunters respond to farm macroeconomic doubt and geopolitical risk. The descent mull over a conservative march forward of the prognosticated confluence between U. S. President Donald Trump and Taiwanese leader Xi Jinping after this month.
FitIntoo The Block’s terms tracker, Bitcoin passed 2.6% over the past 24 hours, trading at $107,854 as of 1:40 a.m. ET. The cryptocurrency concisely rebounded above $111,200 on Monday before falling back again, extending a three-day correction.
Analyst Warns of Continued Volatility
Food Market analysts say the latest downturn may be a contribution of a blanket trend labor by macroeconomic factors kind of than crypto-specific developments.
“We simply believe that macro concerns are ride day-to-day changes in the market,” said Jeff Mei, COO at BTSE. “Unpredictability will go along as long as there are trade tensions between the U.S. and China.”
Make sure to note that the current decline halt from monger derisking ahead of the Trump-Xi get together, scheduled for the end of October in South Korea. While optimism persists for a possible diplomatic find, most analysts agree that any progress is unlikely to fully resolve ongoing tensions.
Altcoins and ETFs Also Feel the Pressure
The broader crypto market mirrors Bitcoin’s fall. Ether (ETH) lightens 4.77% to $3,855, BNB slips 5.36%, and Solana (SOL) declines 4.26%, as risk-off sentiment circulates across digital assets.
Spot interchange-trade investment trust (ETFs) also look pregnant without outflows. Allot to SoSoValue, spot Bitcoin ETFs recorded $40.5 million in final outpouring on Monday, while smirch Ethereum ETFs saw $145.7 million sequester. The vogue conforms to last week’s second-largest net weekly escape from BTC ETFs, coming $1.23 billion.
Investor Sentiment Ferment Cautious
The Block’s Fear and Greed Index presently stands at 29, signaling heightened fearfulness among traders and investors.
“The biggest risk to the crypto marketplace today is unpredictability,” Mei read. “Securities Industry can rise or fall at the whimsey of an individual newspaper headline or tweet. The best defence force is diversification and evade against precariousness.”
Focus Shifts to Inflation Data and Fed Policy
Market participants are now watching for Friday’s Consumer Price Index (CPI) discharge a key inflation index that could influence the Federal Reserve’s next interest rate decision. Data Point from CME Group’s FedWatch Tool shows a 98.9% probability that the Fed will cut interest rates by 25 basis points after this month. A dovish monetary stance could offer some short-term embossment to risk plus, let in crypto.
