Bitcoin had another rough day on Thursday, tumbling to about $106,290 before finding some footing above $107,000. The world’s largest cryptocurrency has been on a multi-day slide as traders weigh a mix of global economic signals — from the Federal Reserve’s cautious stance on interest rates to renewed tension and volatility following U.S.–China trade talks.
The Fed’s Message Sends Shivers Through the Market
The drop began after the Federal Reserve’s latest policy meeting, where the central bank announced a 25 basis point rate cut — an expected move, but not quite the relief markets were hoping for. What really rattled investors was Fed Chair Jerome Powell’s tone afterward.
At his press conference, Powell acknowledged that inflation is inching closer to the Fed’s 2% goal, but he also made it clear that policymakers were divided. “There are strongly differing views within the committee,” he said, emphasizing that no decision has been made on whether to cut rates again in December.
That one statement was enough to cool enthusiasm fast. Futures traders quickly dialed back expectations — pricing in about a 60% chance of another cut in December, compared to near certainty just a day earlier.
“Powell’s comments created a bit of a risk-off mood,” said Charlie Sherry, head of finance at BTC Markets, in an interview with Bloomberg. “Add in the Trump–Xi meeting shaking things up today, and you get volatility. Tech stocks might be holding up, but crypto hasn’t followed — showing weakness and hesitation in digital assets right now.”
The reaction was immediate. Treasury yields and the U.S. dollar climbed, while most risk assets — from equities to crypto — saw declines. The two-year Treasury yield jumped almost 10 basis points as investors rethought the Fed’s next moves.
Trade Talks Stir the Pot
Meanwhile, attention turned to Seoul, where U.S. President Donald Trump met with Chinese President Xi Jinping. The two leaders painted an upbeat picture of progress. Trump described the talks as “amazing,” saying they had agreed to halve tariffs on fentanyl-related goods and were “pretty close” to a broader deal covering rare earth materials and agricultural trade.
Even though these discussions don’t directly affect Bitcoin, global risk sentiment does. When traditional markets turn cautious, that nervous energy often spills into crypto — and that’s exactly what seems to have happened this week. Thursday’s pullback in stocks echoed across digital assets, keeping Bitcoin under pressure.
SpaceX’s Big Bitcoin Shuffle
Adding another layer of intrigue, on-chain data revealed that Elon Musk’s SpaceX has been making significant Bitcoin transfers. According to analytics firm Arkham Intelligence, SpaceX moved 281 BTC (about $31 million) on October 29 — its fifth transfer this month, totaling a staggering 4,337 BTC (around $472 million).
These transactions were routed through Coinbase Prime, suggesting that the company might be reorganizing its Bitcoin holdings rather than selling them. Analysts believe SpaceX could be upgrading its wallets from older “legacy” address formats to newer, more efficient Taproot and SegWit types — a common move for institutions managing large holdings.
Musk had confirmed back in 2021 that SpaceX held Bitcoin, but reports indicated the company sold roughly 70% of its stash during the 2022 market crash. Despite that, Arkham now tracks around 7,258 BTC (roughly $799 million) still tied to SpaceX-linked wallets — and that number could rise as recent transfers are identified.
Meanwhile, Tesla continues to hold about 11,509 BTC — worth around $1.3 billion — maintaining one of the largest corporate Bitcoin reserves in the world.
Bitcoin Awaits Its Next Catalyst
Right now, Bitcoin appears to be stuck in a holding pattern. Traders are watching every Fed statement and geopolitical headline for direction. Between uncertainty about interest rates, shifting trade relations, and institutional players quietly adjusting their holdings, crypto markets are in a state of cautious suspense.
The next big spark could come in December — either from a fresh rate cut or from markets finally losing faith that one is coming. Until then, Bitcoin seems to be balancing on a knife’s edge between macro optimism and monetary caution.
For now, one thing is clear: in a world where global economics, politics, and even SpaceX wallet transfers intertwine, Bitcoin remains as unpredictable — and fascinating — as ever.
