Bitcoin News Today: Bitcoin's Red October Highlights Crypto's Diverging Paths as BNB Soars

Bitcoin closed October with a rare red finish, marking the first negative performance for the cryptocurrency in seven years, according to a Crypto.News report. The digital asset, which had previously seen annual gains every October since 2018, fell 5.5% month-to-month, trading at $110,155 on October 31 compared to $122,870 at the end of September, the Crypto.News report said. This decline came amid heightened macroeconomic uncertainty, including concerns over Federal Reserve policy and profit-taking after a brief rally to an all-time high of $126,198 in mid-October. Analysts attribute the downturn to ETF outflows exceeding $550 million in late October and a broader shift toward risk-off sentiment, the report added.

The selloff was exacerbated by activity from long-dormant wallets. A Satoshi-era Bitcoin wallet, holding $16 million worth of BTC, reactivated in October, signaling potential cashing in of gains amid fears of a Fed rate cut, the Crypto.News report noted. TeraHash analysts observed that Bitcoin's momentum, while steady, is slowing as the market matures, with capital inflows moderating price swings but also shielding the asset from sharp declines. Meanwhile, institutional flows continued to play a pivotal role, with spot Bitcoin ETFs attracting $3.5 billion in October inflows, pushing institutional holdings to 12% of total supply—the highest on record, according to an Investing.com analysis.

While Bitcoin's October performance drew attention, BNB Chain saw a surge in activity driven by the memecoin frenzy. Platforms like Four.meme dominated new token launches, with the BNB token price spiking above $1,300 during the month before settling with a 6.6% gain, as reported by Cointelegraph. This contrasted with Bitcoin's struggles, highlighting divergent dynamics across the crypto market.

Technical analysis suggested a potential rebound for Bitcoin. On October 30, BTC/USD traded at $111,328 after a 25-basis-point rate cut, with key resistance levels identified at $126,000–$128,000 and support at $105,400–$103,800, as noted in a TradingView note. A break above $116,000 could trigger a move toward $120,000–$122,000, while a drop below $109,000 risks exposing the $105,000 CME futures gap, the Investing.com analysis warned.

The Fed's expected 0.25% rate cut in October further complicated the outlook. With inflation easing and the U.S. Dollar Index slipping below 99, Bitcoin's role as a hedge against fiat devaluation gained traction, the Investing.com analysis added. Meanwhile, the so-called "hard money trade" remained intact, with Bitcoin-to-gold ratios rebounding to pre-tariff levels and institutional demand stabilizing prices, the analysis said.

The October chartbook underscored a maturing market. While Bitcoin's red finish signaled structural shifts, BNB's rally highlighted speculative fervor in niche segments. For investors, the month served as a reminder of crypto's duality—balancing macroeconomic sensitivity with retail-driven volatility.