Bitcoin’s October Pause Masks Strength, Analysts Predict Gold-Correlated Rally
Despite a relatively muted October, Bitcoin (BTC) holding near $110,000 shows resilience, prompting analysts to forecast a potential breakout in the coming weeks.
Although BTC’s performance has lagged its usual October momentum, its stability around $111,000 is being interpreted as underlying strength rather than weakness. Over the past 24 hours, Bitcoin slipped 1.2% to $111,500, while the broader crypto market saw steeper losses: Ether and XRP fell 3%, and Solana and Dogecoin dropped about 2%. Meanwhile, gold and silver surged to new highs, and U.S. equities stayed in positive territory.
Analysts Urge Patience
At Wednesday’s Digital Asset Summit in London, Quinn Thompson, CIO of Lekker Capital, highlighted that Bitcoin is likely to catch up to gold soon. “We expect this move to begin very shortly,” he said, drawing parallels to strong Bitcoin rallies in November 2024 and October 2023.
Matt Mena, crypto research analyst at 21Shares, noted that Bitcoin’s resilience amid global uncertainty reflects structural demand anchored by ETF inflows and a more dovish Fed outlook. With leverage largely cleared from the market and monetary easing anticipated, Mena forecasts that Bitcoin could reach $150,000 before year-end.
Fed Policy a Key Factor
Much of Bitcoin’s near-term performance depends on the Federal Reserve’s policy path. The Fed’s Beige Book reported signs of softening labor market conditions, reinforcing expectations for rate cuts at the remaining policy meetings this year.
Fed Chair Jerome Powell acknowledged labor market softness without specifying rate decisions, bolstering the market’s view that further easing is likely, providing supportive conditions for Bitcoin.
