Bitcoin News Today: Wall Street Validates Bitcoin's Mainstream Move as JPMorgan Approves Crypto Collateral

Generated by AI AgentCoin WorldReviewed byRodder Shi
Monday, Oct 27, 2025 4:30 am ET2min read
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Aime RobotAime Summary

- Bitcoin nears $111,700 as ETF inflows surge $4.21B in October, driven by BlackRock and Fidelity funds.

- JPMorgan's crypto collateral approval validates institutional adoption, boosting market confidence ahead of 2025.

- Technical analysis shows bullish consolidation above $108,000, with $113,500 as key breakout threshold.

- Exchange outflows and ETF dominance (6.78% market cap) signal reduced liquidity, amplifying price volatility risks.

- U.S.-China trade easing and Fed rate cuts position Bitcoin as inflation hedge against weakening dollar.

Bitcoin's Price Hovers Near $111,000 as ETF Inflows and Institutional Adoption Fuel Bullish Sentiment

Bitcoin (BTC-USD) traded near $111,700 on October 25, 2025, rebounding from a critical support level near $108,000 and consolidating amid a surge in institutional demand. The cryptocurrency has seen over $4.21 billion in net ETF inflows in October alone, driven by BlackRock's iShares

Trust (IBIT), Fidelity's Wise Origin Bitcoin Fund (FBTC), and other major players. These inflows have pushed Bitcoin ETF assets to $149.96 billion, representing 6.78% of the coin's total market capitalization and signaling growing institutional adoption, according to a .

The rally follows a volatile correction in late October, when Bitcoin fell to $103,587 amid a U.S. government shutdown and geopolitical tensions. However, recent developments—including JPMorgan Chase's announcement to allow Bitcoin and

as collateral for secured loans—have bolstered market confidence. The move, effective by year-end 2025, marks a symbolic shift for Wall Street and validates Bitcoin's integration into mainstream finance, according to a .

Technical indicators suggest Bitcoin remains in a bullish consolidation phase. The price is currently above its 200-day EMA but below the 50-day EMA, forming a tight compression zone between $108,000 and $113,500. A sustained close above $113,500 could trigger a breakout toward $116,200–$119,000, while a drop below $108,000 risks retesting $104,000. Polymarket traders have priced in a 52% probability of Bitcoin closing between $110,000 and $112,000 on October 26, reflecting cautious optimism.

Institutional demand is further supported by exchange outflows. Coinglass data shows $12 million in net withdrawals from centralized exchanges in early November, indicating a preference for custodial holdings over trading liquidity. This trend aligns with historical patterns where reduced exchange supply precedes price stabilization. Meanwhile, ETF inflows have outpaced Ethereum's by a factor of three, with Bitcoin ETFs absorbing $3.34 billion in weekly trading volume compared to Ethereum's $1.41 billion, according to

.

Market sentiment has also improved with easing U.S.-China trade tensions. The White House confirmed a Trump-Xi meeting on October 30, raising hopes for a de-escalation in tariffs and trade disputes. Bitcoin rose 1.6% to $111,390 following the announcement, reversing earlier losses tied to Trump's tariff threats, according to

.

Analysts highlight ETF-driven liquidity as a key catalyst. BlackRock's

alone holds $89.17 billion in assets, while Fidelity's FBTC and Bitwise's BITB added $75.33 million in inflows this month. These funds now control roughly 6.4% of Bitcoin's total supply, effectively reducing circulating liquidity and creating conditions for a potential price surge, TradingNews reported.

Ethereum, meanwhile, faces headwinds as ETF outflows continue. Ethereum ETFs recorded $243.9 million in net redemptions in October, with BlackRock's ETHA ETF leading the exodus. The shift reflects a broader capital rotation from yield-centric assets to Bitcoin's "store-of-value" narrative, particularly as global central banks signal rate cuts.

Looking ahead, Bitcoin's trajectory hinges on institutional participation and macroeconomic trends. With the Federal Reserve poised to cut interest rates in late October and early December, Bitcoin's appeal as a non-yielding asset could strengthen against a weakening U.S. dollar. A breakout above $115,000 could target $125,000–$130,000, while a sustained drop below $108,000 would test longer-term support near $100,000.

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