Bitcoin (BTC) Plunges Before the FOMC Meeting, Pi Network (PI) Soars by 15%: Market Watch

The total crypto market capitalization tumbled below $3.9 trillion.

The cryptocurrency market, which started the new business week on the right foot, lost some ground over the past 24 hours.

Bitcoin (BTC) briefly dipped to almost $112,000, while Ethereum (ETH) and many other leading altcoins have also posted losses. Pi Network’s PI is in the opposite corner with a double-digit gain.

BTC Slips Ahead of Fed’s Decision

The primary cryptocurrency registered an impressive uptick on Monday (October 27), temporarily climbing above $116,000. It surpassed that level yesterday, too, but since then, BTC has been in an evident downtrend.

Several hours ago, the price tumbled to approximately $112,300. The bulls managed to reclaim some lost ground, and as of this writing, Bitcoin is hovering around $113,000, representing a 1.2% decline on a daily scale.

BTC Price, Source: TradingView

The heightened volatility comes just hours before the FOMC meeting, during which the Federal Reserve will decide whether to raise, lower, or keep interest rates in the United States unchanged. The odds of a 0.25% drop are almost certain (according to bets on Polymarket), and we will see how the official announcement impacts the crypto sector. According to some analysts, Bitcoin is at a crossroads and its valuation could either shoot above $120,000 or collapse well below $100K.

Lower interest rates are generally considered good news for bulls, as they could dampen investor appetite for traditional financial products and encourage investment in digital assets.

Following BTC’s price retreat over the past 24 hours, its market capitalization has headed south to around $2.25 trillion, while its dominance over the altcoins stands at nearly 59%.

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PI Enters Green Territory

Ethereum (ETH) has followed BTC’s footsteps, plunging by 3% to under $4,000. Solana (SOL), Bittensor (TAO), Sui (SUI), Hedera (HBAR), and Ethena (ENA) are also among the biggest losers, with declines of 4-7%.

Somewhat surprisingly, Pi Network’s native cryptocurrency is the best-performing digital asset (from the top 100 club) today, with its price spiking by 15% to $0.26. Other notable gainers include TRUMP (+13%) and M (+4%).

The total cryptocurrency market capitalization has retraced by 1.7% in the last day to around $3.88 trillion.

Cryptocurrency Market Overview, Source: QuantifyCrypto