Crypto News

Bitcoin climbs back above $81,000 after US Fed holds interest rates steady

Abdulrahim Mughal October 29, 2026 · 5 min read

Bitcoin climbed back above $81,000 on 28 October 2026, after the United States Federal Reserve kept interest rates unchanged. The move gave crypto traders some relief after a shaky start to the week, when Bitcoin had slipped below $80,000 for the first time in more than a week.

By the end of 28 October, Bitcoin closed at $81,254, up 0.8 percent on the day, after trading between $80,330 and $81,632. The wider crypto market also rose. Its total value stood at about $2.69 trillion, up 1.1 percent in 24 hours, with Bitcoin making up just over 60 percent of that total.

What the Fed decided

The Federal Reserve held its main interest rate at 3.75 to 4.00 percent. The decision was widely expected. Before the announcement, traders put the chance of no change at around 92 percent.

But the message was cautious. Fed Chair Kevin Warsh said inflation is still too high, and he did not rule out further rate rises. When borrowing stays costly, many investors are less willing to take risks, and money often moves away from assets like Bitcoin.

That is why the reaction was mixed. Bitcoin rose, but it did not break far above $81,000. Early trading on 29 October was choppy, with prices moving between about $79,605 and $81,721. The recovery is real, but it is not yet strong.

How other coins performed

Ethereum, the second-largest coin, ended 28 October at $2,357, up 0.6 percent. Solana rose 1.2 percent to $102.32. Binance Coin gained 2.2 percent to $759. XRP was almost flat at $1.32, while Dogecoin rose 1.1 percent to just under 8 cents.

Of the 50 largest coins tracked, 31 rose and 12 fell. Uniswap was one of the strongest, up 2.6 percent to $7.22. Pepe rose 9.4 percent after Arkham Intelligence said wallets it links to Tron founder Justin Sun hold around $51 million of the token.

Why the mood improved

Three things helped. First, the Fed decision removed one big question for the week. Second, Asian share markets rose sharply. South Korea's Kospi index jumped 6.6 percent after chip maker SK Hynix reported a sevenfold rise in quarterly profit. That lifted shares in chip and artificial intelligence firms around the world, and some of that brighter mood spread to crypto.

Third, money kept flowing into US spot Bitcoin exchange-traded funds, or ETFs. These funds let investors buy Bitcoin through the stock market, without holding the coin themselves. CoinDesk, citing Farside Investors, reported $176 million of net inflows on Tuesday, a second day of gains. Traders watch this as a sign of demand from larger investors, though it does not guarantee higher prices.

Galaxy's head of research, Alex Thorn, said the bear market likely ended in June, when Bitcoin traded below $58,000. That is one firm's view, not a promise.

What traders are watching next

The next test is whether Bitcoin can hold above $80,000. Market reports put near-term support at $80,700 to $81,000, and resistance, the level where selling has tended to appear, at $81,500 to $81,750. A clear move above that resistance zone would give buyers more confidence. A fall back below support would suggest the rebound is fading.

Traders are also watching company results. Alphabet and Microsoft reported after US markets closed on 28 October, with Google shares falling after results missed expectations. A weak mood in tech shares can spill over into crypto, since many investors hold both.

Another date is 30 October, when a large set of Bitcoin options contracts expires. Their expiry can make prices jumpy for a day or two, though it does not set the long-term trend.

The wider background is still difficult. Treasury yields near 5 percent and Brent oil above $115 a barrel keep borrowing costs and inflation worries high, while Canada raised rates and two US policymakers favoured a rise.

What this does not mean

A one-day rebound is not the same as a new bull market. Bitcoin is still down about 2.7 percent over the past seven days, and Ethereum is down about 4.6 percent over the same period. Most coins tracked are higher than a day ago but lower than a week ago.

For ordinary readers, the simple lesson is this: the Fed's decision to hold rates steady took some pressure off the market, and Bitcoin used that calm to climb back above $81,000. Whether it stays there will depend on inflation data, the next Fed signals, and whether buyers keep showing up at these levels. Until then, the market looks steadier than it did on Monday, but far from settled.