📊 Just a 5% capital flow from gold to Bitcoin could push the price of the first cryptocurrency to around $242,000, — analysts say.

Daily Market Dispatch – October 27, 2025 Crypto gains ground ahead of a heavy macro week Crypto markets are starting the week on a firm footing, with total capitalization edging up to $3.88 trillion. Bitcoin futures open interest climbed above $36 billion, marking a steady rise over the past week and signaling renewed institutional and speculative engagement. Ethereum is following suit, with open interest above $24 billion, reflecting growing conviction across the broader market. ETF flows closed the week mixed — Bitcoin ETFs recorded $90 million in net inflows on Friday, while Ethereum ETFs saw $93 million in outflows, highlighting the market’s tilt toward Bitcoin exposure ahead of a dense macro calendar. The rebound follows improving sentiment on U.S.–China trade progress and rising confidence that the Federal Reserve will deliver another rate cut this week. Traditional markets are echoing that optimism. Equities hover near record highs on solid earnings and easing inflation, bond yields remain anchored, gold is easing as risk appetite improves, and the dollar has softened ahead of major central bank decisions. Bitcoin Bitcoin reclaimed ground above $115,000 as last week’s short squeeze matured into a steadier advance. The rally has been led by spot accumulation rather than leverage, supported by subdued funding and consistent ETF demand. On-chain data show that aggressive selling has largely subsided, while flattened cumulative volume delta suggests sellers are finally exhausted. The setup highlights a classic imbalance: ETF demand is steady while supply on exchanges isn’t — a bullish asymmetry that continues to define this cycle. Ethereum & Altcoins Ethereum climbed toward $4,200, tracking Bitcoin’s move with balanced funding and growing spot participation — evidence of a recovery built on conviction rather than leverage. Solana has reclaimed the $200 level, while XRP and BNB added modest gains, reflecting a broad recovery across large caps. With front-end volatility softening even as spot prices rise, dips are no longer generous opportunities. If volatility continues to compress after the Fed, rotation could broaden across high-liquidity names, with Layer-2 ecosystems likely to lead momentum into November. Macro & Institutional Institutional participation remains robust. Strategy, the world’s largest bitcoin-treasury company, added 390 BTC (~$43 million) at an average of $111,117, lifting total holdings to 640,808 BTC for roughly 3% of Bitcoin’s capped supply. The acquisition reinforces the view that treasuries keep stacking while circulating float keeps shrinking. At the fund level, digital asset investment products saw $921 million in weekly inflows, reversing the prior week’s outflows. Bitcoin products led the charge, while Ethereum vehicles recorded their first net outflow in five weeks — a sign that capital rotation remains disciplined rather than speculative. Looking Ahead The spotlight this week falls squarely on the Federal Reserve’s interest rate decision on Wednesday. Markets are pricing in another 25-basis-point cut, with attention shifting to how Chair Powell frames the balance between slowing growth and sticky inflation. A more dovish tone could extend the current risk-on momentum, while any hint of caution might cool the rally across both equities and digital assets. Liquidity remains the key variable — easing policy would reinforce the view that monetary conditions are turning from headwind to tailwind, particularly for high-beta assets like Bitcoin. Beyond the Fed, investors will digest a full slate of data and central bank updates: U.S. New Home Sales (Mon), Consumer Confidence (Tue), GDP (Thu), Core PCE and PCE Price Index (Fri), as well as BoJ and ECB decisions on Thursday and China’s Manufacturing PMI on Friday. Together, these releases will test whether the market’s optimism can transition into a more durable phase of global reflation. — Iliya Kalchev, Nexo Dispatch Analyst For informational purposes only; not financial or investment advice.