Bitcoin Falls Below $80,000 Ahead of Federal Reserve Meeting
Key Facts
Bitcoin briefly fell below $80,000 on October 27 before trading at $80,373.3 by 14:57 GMT, according to Investing.com. This came on the day Lookonchain published an observation at 19:13 GMT, according to its summary published that same day. The available information does not include details on the amount or value of the withdrawal, so the size of the move or its dollar value cannot be determined. The timing of the observation places it on the same day the cryptocurrency fell below the psychological $80,000 level. It also coincided with the start of the Federal Reserve's Federal Open Market Committee meeting.
Bitcoin's temporary low was $79,494, before it traded at $80,373.3, according to figures Investing.com reported for 14:57 GMT. The site said Tuesday's drop took the cryptocurrency out of a trading range of $80,000 to $87,000 that had held during the previous month. That put the recorded price below the range's lower bound before it returned above $80,000 by the time cited. In the broader market, the site reported that Strategy made no bitcoin purchases or sales during the week from October 19 to 25. It also did not sell shares through its at-the-market offering program during the same period.
On fund flows, Lookonchain, citing Farside data, reported net inflows of $110 million into U.S. spot bitcoin funds on October 26, against outflows of $88.6 million from spot ether funds. Lookonchain noted that BlackRock's IBIT fund alone disclosed bitcoin flow data that day. The figures show diverging trends between funds tied to the two cryptocurrencies, with a positive net flow for bitcoin and a net outflow from ether. These flows do not establish a causal link to the price move or to Lookonchain's observation published later. The indicators come ahead of the Federal Reserve decision scheduled for the conclusion of its meeting.
The Federal Reserve scheduled the Federal Open Market Committee meeting for October 27 and 28, with a news conference set for October 28 after the committee meeting. The Associated Press said investors saw an almost zero chance of an interest-rate hike at the October meeting, and that the federal funds rate stood at about 3.9% at the time of its report. The agency added that inflation had not reached the Fed's 2% target in any calendar quarter since the final three months of 2020. Attention is focused on the committee's signals on inflation and the path of monetary policy, according to the agency's report. The schedule set the committee's next meeting for December 8 and 9, 2026.