Bitcoin slipped below the $80,000 mark on Monday (October 26) after a weekend selloff pushed the cryptocurrency to its lowest level in more than a month, as rising oil prices, inflation concerns and uncertainty ahead of the US Federal Reserve’s policy decision weighed on sentiment across digital assets.
Bitcoin was trading around $79,600–$80,400 in the market updates provided by crypto platforms on October 26.
Ethereum was trading around $2,300–$2,327, while other major cryptocurrencies, including BNB, XRP and Solana, also faced pressure.
The broader market remained weak, with nine of the 10 largest cryptocurrencies by market capitalisation declining, according to Purvang Mashru, Lead Analyst at BitDelta India.
However, some smaller tokens bucked the trend, with Quant, Pyth Network and Ethena among the gainers cited by CoinDCX Research.
Why is Bitcoin falling?
The latest decline reflects broader caution across financial markets, with higher oil prices and inflation concerns weighing on risk appetite. Brent crude rose to an eight-month high of $116 over the weekend, while the 10-year US Treasury yield reached 5%, according to Mudrex.
Vikas Gupta, Country Manager – India at Bybit, said concerns over artificial intelligence sector valuations and rising oil prices were weighing on global risk assets. He added that leveraged liquidations could amplify short-term volatility in crypto markets.
Nischal Shetty, Founder of WazirX, also pointed to rising energy prices and higher Japanese bond yields as factors that could keep inflation elevated and restrict capital flows into Bitcoin and altcoins. Expectations that the US Federal Reserve will hold interest rates at its October meeting could, however, provide some support to global liquidity, he said.
Bitcoin’s inability to sustain the $80,000 level after its weekend rebound has weakened the recovery, according to BitDelta India.
Harish Vatnani, Head of Trade at ZebPay, said Bitcoin had lost support after retreating from its earlier rally towards $87,000, indicating bearish momentum in the short term.
What are the key Bitcoin levels to watch?
The $79,000–$80,000 zone has emerged as an important support area in the latest market assessments.
CoinSwitch’s Markets Desk said Bitcoin had steadied near $80,400 after touching a monthly low of $79,146 over the weekend. It identified support around $78,000, while resistance was near $81,700, where Bitcoin’s 50-day moving average stood.
Vatnani identified immediate support around $78,500–$79,000, followed by $77,000 and $76,000–$76,500 if selling pressure continues. On the upside, Bitcoin would need to regain $80,500–$81,000 to indicate that the breakdown was losing momentum. A stronger recovery would require it to move above $82,200–$82,500, he said.
Vikram Subburaj, CEO of Giottus.com, identified immediate resistance around $81,400–$81,700, with support near $80,100–$80,200 in his market review. These levels differ across the supplied assessments, reflecting the different price readings and technical reference points used by the platforms.
What do Bitcoin ETF flows indicate?
Institutional demand has remained uneven, with periods of strong buying followed by significant outflows from US spot Bitcoin exchange-traded funds (ETFs).
According to figures cited by Giottus, these ETFs recorded inflows of $526.7 million on October 19 and $524.8 million on October 21, before seeing $635.6 million in net outflows on October 22. BitDelta India separately cited $746.2 million in outflows from Bitcoin and Ether ETFs combined in the October 22 session.
Mudrex said US spot Bitcoin ETFs nevertheless recorded net inflows of more than $300 million over the week, suggesting that institutional interest had not disappeared entirely. Bybit’s Gupta also said recent inflows indicated that institutional demand persisted despite pressure on prices.
The differing figures relate to different reporting periods and fund categories; they should not be treated as directly comparable.
What should investors watch this week?
The Federal Reserve’s October 27–28 meeting is the key event on the macroeconomic calendar, with investors looking for signals on the interest-rate outlook. US GDP and personal income and outlays data, including the personal consumption expenditures (PCE) inflation measure, are also scheduled for October 29, according to BitDelta India.
Mudrex also flagged an approximately $11 billion Bitcoin options expiry on Friday as another event that could influence near-term volatility.
Subburaj said investors should avoid trying to catch a falling market and instead monitor Bitcoin’s support levels, ETF flows and signals from the Federal Reserve before increasing exposure.
Gupta said the correction did not necessarily mark a decisive change in Bitcoin’s long-term outlook. Sustained ETF flows, global liquidity expectations and a recovery in risk appetite would be important in determining whether the cryptocurrency can regain momentum.
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Disclaimer: This article is for informational purposes only and should not be construed as investment advice. Readers should consult certified experts before making any investment decisions.