Bitcoin News Today: Ending QT Can't Rescue Crypto as Fed Hesitation and Leverage Trigger $150M Liquidations

Bitcoin and top altcoins extended losses on October 30, 2025, as leveraged positions unwound following a pivotal Federal Reserve policy shift and geopolitical developments. Despite a 25-basis-point rate cut and the announcement of quantitative tightening (QT) ending in December—moves that typically boost risk assets—Bitcoin (BTC) dipped 0.68% to $109,295, while Ethereum (ETH), Solana (SOL), and XRP traded more than 40% below their all-time highs, according to a Yahoo Finance report. Analysts attributed the selloff to a combination of profit-taking, shifting institutional strategies, and macroeconomic uncertainty.

The Fed's decision to halt QT, a policy that had drained $900 billion from the financial system since 2022, initially buoyed risk-on sentiment. However, markets quickly priced in the likelihood of a slower pace of rate cuts in 2026, with Fed Chair Jerome Powell cautioning that further reductions "are not a foregone conclusion," according to an FXStreet report. This hesitancy coincided with $150 million in crypto-long liquidations within an hour, driven by a mix of leveraged retail traders and algorithmic trading strategies.

Institutional activity further amplified volatility. Jump Crypto, a major crypto trading firm, executed a $205 million over-the-counter trade, swapping 1.1 million Solana tokens for Bitcoin, according to a Bitcoinsistemi article. The move, facilitated by Galaxy Digital, underscored a broader trend of institutions rebalancing portfolios toward perceived safe havens ahead of Bitcoin's 2026 halving event. Meanwhile, CME Group's Solana and XRP futures hit a record $3 billion in open interest, signaling growing institutional confidence in regulated derivatives markets, according to a Coinotag report.

Altcoins faced additional headwinds as geopolitical optimism from the Trump-Xi trade meeting failed to translate into a sustained crypto rally. While the U.S. and China agreed to reduce tariffs and resume rare-earth exports, markets reacted cautiously to lingering regulatory risks and economic data gaps caused by the U.S. government shutdown, as noted in the FXStreet coverage. Solana and XRP, though stabilizing near critical support levels, remained range-bound amid heavy short-term trading activity, according to a Coinpaper analysis.

Bitcoin's technical outlook remains mixed. Traders are monitoring the $108,800–$110,200 intraday range, with a breakout above $111,800 potentially reigniting a push toward $118,000. However, a breakdown below $107,500 could accelerate a test of 2024's key support at $105,000, the Yahoo Finance report said. For altcoins, Ethereum's struggle to reclaim the $3,900–$4,200 zone highlights ongoing challenges in attracting sustained buying interest, the same Yahoo Finance coverage noted.

Market participants are now pivoting to macroeconomic catalysts, including the U.S. nonfarm payrolls report and the Fed's December policy meeting, while institutional adoption of crypto ETFs and regulated futures continues to shape liquidity dynamics, the Coinotag report added.

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