Bitcoin Rebounds Above $81,000 Ahead of Fed Meeting
Bitcoin rose about $2,000 in 24 hours to around $81,500 on October 28, ahead of the US Federal Reserve’s FOMC decision and a speech by Kevin Warsh. The move followed a drop to a five-week low of $79,100 over the weekend. Bitcoin’s market capitalisation climbed to $1.63 trillion, and its market dominance returned to 60%. Traders may see further volatility as they respond to the Fed meeting and its policy signals.
The broader crypto market also advanced. Ethereum gained 3% and approached $2,400, while XRP rose 3% and held above $1.30. BNB traded above $750, and Solana recovered from below $100. BTW jumped nearly 30%, PEPE rose 16%, and M gained 12%. Total crypto market capitalisation increased by more than $40 billion to above $2.71 trillion. Bitcoin’s rebound is a short-term positive, but the Fed’s outlook could quickly shift market sentiment.
Bullish
The immediate market signal is bullish: Bitcoin rebounded from a five-week low of $79,100 to around $81,500, while major altcoins and the overall market capitalisation also advanced. The recovery above $80,000 and Bitcoin’s return to 60% market dominance suggest renewed buying, although dominance also indicates that gains are not evenly distributed across crypto assets.
The rally comes ahead of the FOMC decision and Kevin Warsh’s speech, so it may reflect positioning rather than confidence in a particular policy outcome. As in previous Fed announcements, markets can move sharply in either direction when rate expectations or guidance differ from what traders have priced in. A supportive policy outlook could help sustain risk appetite; hawkish signals could reverse the gains and pressure Bitcoin and altcoins. In the short term, volatility and rapid liquidations are possible. Longer term, this article alone does not establish a trend change: traders will likely look for follow-through above resistance, continued support above $80,000, and broader confirmation from macroeconomic conditions.