Crypto markets showed signs of recovery on October 24, buoyed by easing geopolitical tensions following the White House’s confirmation of a meeting between former U.S. President Donald Trump and Chinese President Xi Jinping. The announcement of the upcoming summit, scheduled for October 30 in South Korea during the APEC conference, helped lift investor confidence across risk assets, including cryptocurrencies.
Bitcoin (BTC) climbed 2.1% over the past 24 hours, trading at $111,353 at the time of reporting. Ethereum (ETH) followed suit with a 3.1% increase to reach $3,948, while Binance Coin (BNB) jumped 4.4% to $1,136. Ripple’s XRP also edged higher by 1.7%, hitting $2.42. Altogether, the total market capitalization of cryptocurrencies expanded by 1.7%, settling at $3.8 trillion.
The improved sentiment was reflected in the Crypto Fear & Greed Index, which rose three points to 30, still within the fear zone but showing signs of stabilizing optimism. According to data from CoinGlass, crypto market liquidations surged by 52%, totaling $242 million, primarily driven by traders who had bet against the market. Notably, overall open interest increased by 3.2% to $153 billion, suggesting a renewed willingness among investors to take on leveraged positions.
Market analysts attribute the rebound to a combination of factors. Chief among them is the easing of U.S.-China trade tensions that had weighed on global markets in preceding weeks. Earlier this month, Bitcoin and other digital assets experienced a sharp sell-off following Trump’s threats of imposing 100% tariffs on Chinese imports and Beijing’s retaliatory measures, including export restrictions on rare-earth elements. That episode triggered liquidations worth $19 billion across crypto markets.
Equity markets also mirrored this relief rally. The Dow Jones Industrial Average gained 0.31%, while the tech-heavy Nasdaq Composite rose by 0.89%, further supporting a risk-on mood that extended into cryptocurrencies. Market strategists now suggest that Bitcoin could target the $115,000 level if diplomatic progress continues. However, renewed friction between the two superpowers could drag BTC back toward the $105,000 zone.
Adding to the bullish momentum was Trump’s controversial decision to pardon Binance founder Changpeng Zhao, also known as CZ, on October 23. Labeling previous legal actions against CZ as “Biden-era overreach,” Trump’s move is being interpreted as a potentially favorable signal for the broader crypto sector. Some industry observers believe this could ease regulatory scrutiny of global exchanges and reposition CZ as a prominent figure in the U.S. crypto scene.
Despite the optimism, investors remain cautious ahead of the U.S. Consumer Price Index (CPI) data release scheduled for October 24. Economists anticipate headline inflation to come in at 0.4% month-over-month and 3.1% year-over-year. A higher-than-expected inflation figure could prompt market participants to reassess risk, potentially dragging crypto prices lower. Conversely, a softer inflation print might reinforce the current upward trajectory, possibly pushing Bitcoin past the $115,000 resistance level.
The relative strength index (RSI) across the crypto market stands at 54, indicating a neutral sentiment and suggesting that markets are neither overbought nor oversold. This opens the door for more volatility in the near term, especially as macroeconomic data and geopolitical developments continue to evolve.
In a broader context, the crypto market appears to be gaining traction as a hedge against traditional financial uncertainties. As central banks around the world grapple with inflation and economic slowdowns, digital assets are increasingly being viewed not just as speculative instruments but also as alternative stores of value and hedging tools.
Furthermore, institutional interest in crypto remains resilient. Despite regulatory headwinds, large asset managers and hedge funds are reportedly increasing exposure to Bitcoin and Ethereum. The potential for exchange-traded funds (ETFs) and other regulated investment vehicles adds further legitimacy to the space, drawing in more conservative capital.
On the technical front, analysts are closely watching support and resistance levels across major tokens. Bitcoin has found a strong support near the $108,000 mark, while Ethereum appears to be consolidating above $3,800, setting the stage for potential breakouts.
Meanwhile, altcoins are exhibiting mixed performance. While tokens like Solana (SOL), Cardano (ADA), and Chainlink (LINK) have shown modest gains, others remain under pressure due to project-specific challenges or lack of liquidity. Nevertheless, the overall trend suggests a gradual return of investor confidence.
Looking ahead, the Trump-Xi meeting is expected to serve as a key catalyst. If the summit results in tangible steps toward de-escalation, it could trigger a sustained rally across both traditional and digital markets. However, any signs of renewed conflict or failure to reach consensus could reignite risk aversion.
In summary, the crypto market is navigating a complex landscape shaped by geopolitical negotiations, macroeconomic data, and shifting regulatory stances. While recent developments offer reasons for optimism, investors should remain vigilant and prepared for further volatility in the days ahead.