The cryptocurrency market lost $156 billion in 24 hours as Bitcoin slipped below $108,000. The total crypto market capitalization now stands at $3.52 trillion after the sharp decline.
Bitcoin currently trades at $107,090 after losing the $108,000 support level. The crypto is holding above the $105,585 support zone for now.
Most altcoins posted losses during the selloff. Aster fell 24% in a single day. Dogecoin dropped 45% from its September highs.
Ethereum, Solana, BNB, and XRP all recorded steep declines. The broader market correction affected both large-cap and smaller tokens.
Federal Reserve Chair Jerome Powell made comments that reduced expectations for future rate cuts. The Fed implemented a 25 basis-point rate cut in October.
Powell stated that additional rate cuts are not guaranteed going forward. This hawkish stance strengthened the U.S. dollar.
JUST IN: 🇺🇸 Fed Chair Jerome Powell says December interest rate cut is "far" from certain. pic.twitter.com/IbTs0sVriM
— Watcher.Guru (@WatcherGuru) October 29, 2025
Federal Reserve Governor Austan Goolsbee’s comments further dampened market sentiment. The odds of a December rate cut fell from 69.8% to 67.5%.
The shift in monetary policy expectations pushed traders away from risk assets. Cryptocurrencies faced increased selling pressure as investors adopted defensive positions.
Institutional investors have been taking profits at recent price levels. U.S. spot Bitcoin ETF outflows show large-scale profit-taking activity.
Bitcoin lost crucial support at $110,000 first. The breakdown triggered technical selling across the market.
When Bitcoin fell below $106,000, the selling accelerated. Popular tokens including Dogecoin, Shiba Inu, and Pepe followed Bitcoin lower.
The rapid price decline triggered forced liquidations across exchanges. Over 334,000 traders were affected in the past 24 hours.
Total liquidations reached $1.29 billion, representing a 686% increase. Highly leveraged positions were wiped out as prices fell.
The liquidation cascade deepened losses for altcoins and meme coins. Smaller tokens experienced double-digit percentage drops.
The Crypto Fear and Greed Index sank to 21, indicating high investor fear. Market sentiment has turned cautious amid the volatility.
Analysts identify critical support between $100,000 and $101,000 for Bitcoin. A break below this range could trigger additional downside.
If Bitcoin holds current support levels, a recovery could begin. A sustained move above $108,000 would improve sentiment.
Reclaiming $110,000 as support would restore investor confidence. Such a move could push Bitcoin toward $112,500.
The total crypto market cap could fall to $3.43 trillion if weakness continues. This would extend the current correction phase.
If demand rebounds, the market cap could recover above $3.56 trillion. A move higher may lead to a test of $3.67 trillion resistance.
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