#BTC [October Bitcoin Market Review: A Dramatic Intertwining of Peaks and Dark Times]

The cryptocurrency market in October 2025 is destined to leave a vivid mark amid the dramatic fluctuations of Bitcoin. From the one-sided surge at the beginning of the month breaking historical thresholds, to the epic collapse in the middle of the month causing shocks in the industry, and finally struggling repeatedly at the end of the month amidst liquidity depletion and policy expectations, the entire Bitcoin performance in October resembles a dramatic rollercoaster, vividly showcasing the market's greed and fear. Reviewing this grand trend allows us to glimpse the transmission logic of market sentiment and provides important references for future market judgments.
[Soaring at the beginning of the month: unilateral rise hit a stage peak]
In early October, the Bitcoin market kicked off with an unstoppable momentum of rising prices. After stabilizing around the support level of 113,900 USD at the beginning of the month, Bitcoin undoubtedly entered a unilateral upward mode, with continuous buying pressure driving the price to surge. As of October 6, Bitcoin reached a peak of approximately 126,200 USD during trading, with an increase of over 10% within just a few days, not only refreshing the height of the rebound this year but also rekindling the market's anticipation for a cryptocurrency bull market.
Behind this wave of rising market trends, there is both a premature reaction of the market to expectations of global liquidity easing and benefits from the internal positive factors of the cryptocurrency industry. At that time, the market generally anticipated the possible interest rate reduction signals that the Federal Reserve might release subsequently, coupled with the accelerated entry of some institutional funds, which collectively provided momentum for the rise of Bitcoin. Under the stimulation of continuous price increases, market optimism intensified, and leveraged funds aggressively increased their long positions, laying hidden risks for the subsequent sharp corrections.
Mid-month crash: Epic decline triggers largest liquidation in a single day.
After three days of high-level consolidation near the peak of $126,200, the turning point in the Bitcoin market arrived without warning. On October 11, this drop, referred to by the market as an "epic crash," officially unfolded, with the price of Bitcoin plummeting from around $122,250, ultimately reaching a low of $101,650, a single-day decline of over 17%. This drop not only broke multiple short-term volatility records but also set a record for the largest single-day liquidation scale in the history of cryptocurrencies, with countless long positions being forcibly liquidated, causing the market to instantly shift from euphoria to panic.
The factors that triggered this crash are not a single event, but rather the concentrated outbreak of multiple risks. From the external environment, the global financial market experienced a broad decline that day, with risk assets collectively under pressure, and Bitcoin, as a highly volatile asset, was hit the hardest; from the internal logic, during the high-level consolidation period, market liquidity had already raised concerns, coupled with a large-scale exit of some early profit takers, forming a "mutual destruction" effect. After the crash occurred, the cryptocurrency market was in chaos, investor confidence suffered a heavy blow, and it is difficult to recover in the short term.
[End of Month Volatility: The Game of Liquidity Exhaustion and Policy Expectations]
After the epic collapse, Bitcoin has seen a sharp rebound, but the strength of the rebound is far below market expectations, peaking at around 116,000 USD before facing downward pressure again. On October 17, the market once again touched a phase low of 103,500 USD, during which international macro markets sent a sign of easing, injecting temporary vitality into Bitcoin, and the price re-entered the rebound range. However, this rebound has always been constrained by the dilemma of liquidity exhaustion, with trading volume failing to keep up, resulting in insufficient upward momentum, and after rebounding to a maximum of 116,350 USD, it fell back into adjustment.
As we enter late October, the Bitcoin market is experiencing a more sluggish and volatile trend, with a weak pattern of four consecutive declines by the end of the month. It is worth noting that even with the widespread expectation of a 25 basis point rate cut by the Federal Reserve, Bitcoin not only failed to rise in response but continued to hit lower points, only managing to rebound after touching 106230 USD early on October 31. By the end of the month, Bitcoin remained in a fluctuating range around 109000 USD, showing a trend of 'rising first, then falling, and weak fluctuations' throughout October.
【Market Outlook: Liquidity Return Becomes Key Variable】
Looking back at the ups and downs of Bitcoin in October, it is not difficult to find that market sentiment and liquidity are the core factors driving the market. The rise at the beginning of the month was due to the resonance of liquidity expectations and optimistic sentiment, while the crash in the middle of the month was caused by liquidity exhaustion and a surge of panic sentiment. The fluctuations at the end of the month reflect the hesitation and entanglement of the market under conditions of insufficient liquidity. This series of trends clearly indicates that the cryptocurrency market has not yet formed an independent operating logic and still relies heavily on the external liquidity environment and changes in market sentiment.
For the subsequent market trends, whether liquidity can effectively return will become the key to determining the trajectory. Currently, Bitcoin has temporarily found support around 109,000 USD, but if the ongoing low trading volume does not improve, further upward movement will still face significant resistance. Investors need to pay close attention to global macro liquidity changes, especially the Federal Reserve's monetary policy direction, while closely tracking market sentiment indicators and capital flows. Only when liquidity significantly returns and the market buying power continues to strengthen can Bitcoin truly break free from the consolidation pattern and embark on a new trend.
The market volatility in October is both a release of risk and a warning to investors. In the high-risk market of cryptocurrency, it is essential to remain rational at all times, avoiding blind chasing of price surges and drops. Only by focusing on core variables and respecting market risks can one seize opportunities amid the fluctuations.