The US FED would cut interest rates at its meeting on Wednesday.
A meeting between Trump and Xi could bring peace to financial markets, after months of tension.
The price of bitcoin (BTC) begins the last week of October with a marked upward trend, surpassing the barrier of $115,000 per unit.
In the digital asset market, strong optimism is reflected in the face of two macroeconomic events that could define the direction of prices for the end of the year: a decision of the United States Federal Reserve (FED) and one high-level meeting between Presidents Donald Trump and Xi Jinping.
Traders’ attention is focused, first of all, on the meeting of the Federal Open Market Committee (FOMC) of the FED, which will conclude this Wednesday, October 29.
As CriptoNoticias has reported, there is an almost unanimous consensus in the market on a cut of 25 basis points in interest rates.
Analysis tools such as CME Group’s FedWatch place the probability of this measure above 96%, a sentiment that is shared by economists from major financial institutions.
A looser monetary policy by the United States has historically favored tight-supply assets like bitcoin by increasing liquidity in the system.
Secondly, expectations are placed on summit to be held by US President Donald Trump and his Chinese counterpart, Xi Jinpingnext Thursday in South Korea.
Sources from both countries have indicated progress towards reaching an agreement to end the “tariff war” which has generated uncertainty in the global economy during 2025. They have already reached interim agreements on rare earths.
A positive result in this meeting would reduce the geopolitical risk. This is a scenario that could accelerate a rotation of capital from traditional havens such as gold to bitcoin.
This boost comes after a week in which bitcoin demonstrated remarkable resilience against gold, which suffered one of its worst daily declines.
The apparent calm of the market last week seems to be the prelude to high volatility, with investors positioning themselves to wait for these catalysts.