By Boluwatife Oshadiya | October 27, 2026
Key Points
- Bitcoin falls below $80,000 to approximately $79,800 as investors reduce exposure ahead of the Federal Reserve’s policy decision
- Bitcoin liquidations rise 264% to $51.24 million over 24 hours, with $33.34 million in long positions liquidated
- Traders monitor $78,000 support and the Federal Reserve’s October 28 decision for potential signals on Bitcoin’s next move
Main Story
Bitcoin fell below $80,000 to approximately $79,800 on Monday as leveraged long-position liquidations intensified, according to the supplied market report, adding to pressure on digital assets ahead of the Federal Reserve’s October policy decision.
Bitcoin liquidations rose 264% to $51.24 million over 24 hours, including $33.34 million in long positions. The report attributes the imbalance between long and short liquidations to forced selling as leveraged traders closed positions, amplifying the downward price movement.
The broader cryptocurrency market also weakened, with total market capitalisation falling 0.66%. The report puts Bitcoin’s correlation with the S&P 500 at 18%, suggesting some shared exposure to wider market conditions, although the figure alone does not establish the cause of the decline.
Investor caution ahead of the Federal Reserve meeting and major technology-company earnings has added to market uncertainty. The supplied report also points to concerns that spending on artificial intelligence infrastructure could compete with crypto assets for investment capital.
The Federal Reserve’s policy decision is scheduled for October 28, according to the report’s stated timeline. While a pause is widely expected in the supplied market assessment, some participants reportedly anticipate a possible rate increase in December 2026 amid persistent core inflation and low unemployment. No named economist or analyst is identified to substantiate that expectation in the material provided.
Bitcoin’s immediate technical levels are reported at $78,000 for support and approximately $80,787 for resistance, corresponding to its 50-day moving average. A break below support could expose the price to further downside, while continued institutional demand could help support a recovery.
What’s Being Said
The supplied market analysis identifies leveraged liquidations, Federal Reserve uncertainty and technology-sector earnings as factors shaping sentiment. However, it does not include a direct statement from the Federal Reserve or a named independent analyst’s quotation, so these assessments require attribution to the original market-data provider before publication.
What’s Next
- October 28: Monitor the Federal Reserve’s policy decision and accompanying communication for signals about the future path of interest rates.
- Track Bitcoin’s response around the reported $78,000 support level and $80,787 resistance level.
- Review US spot Bitcoin exchange-traded fund flow data after the policy decision to assess whether institutional demand strengthens or weakens.
Bottom Line
The Bottom Line: Bitcoin’s decline reflects a combination of leveraged selling and caution ahead of a major macroeconomic event, but the supplied figures do not establish that the Federal Reserve alone caused the sell-off. The durability of any recovery will depend on price stability, changes in leverage and evidence of renewed investor demand.
