Bitcoin Price Analysis: BTC Sinks As Trade Tensions Extinguish “Uptober” Spark

Bitcoin (BTC) found itself back in bearish territory as its weekend bounce fizzled out after reaching an intraday high of $111,748 on Monday, thanks to lingering macroeconomic risks related to trade tensions between the US and China. 

The flagship cryptocurrency has struggled to regain momentum after the October 10 crash, which wiped out $500 billion in crypto market capitalization. 

Investor Outlook Cautiously Optimistic: Coinbase-Glassnode Survey 

A report by Coinbase Institutional and Glassnode has revealed that most investors believe Bitcoin’s bull market will continue for at least three to six months. David Duong, Coinbase Institutional’s Head of Research, stated in the report that he expects favorable macroeconomic, regulatory, and policy conditions to persist. He also believes digital asset treasury companies will amplify demand for crypto assets, including Bitcoin. However, Duong also highlighted several challenges, including the ongoing government shutdown. The shutdown has delayed key economic data and stalled the momentum behind several altcoin ETFs. 

Duong also questioned the long-term viability of the DAT business model. The survey also reveals that researchers are “cautiously optimistic” about Bitcoin’s prospects in Q4 2025.

Jack Dorsey Reignites Bitcoin Debate 

Twitter creator Jack Dorsey has reignited the debate around Bitcoin after posting a brief message stating, “Bitcoin is not crypto.” The message prompted a massive response from the community. Many argued that Satoshi Nakamoto described Bitcoin as a peer-to-peer cryptocurrency on the BitcoinTalk forum in 2010, and Dorsey highlighted the word “currency” to indicate its monetary roots. Dorsey has long been rumored to play a role in BTC’s creation. Dorsey has denied being Nakamoto several times, stating in a 2020 interview, 

“No, and if I were, would I tell you?”

Dorsey stated in a separate post that “Bitcoin is money,” defending its status by highlighting progress with zero-fee BTC payments by his financial services company Block and its payments processing arm, Square. Dorsey has long advocated for Bitcoin to be a payment method and has encouraged social media apps to adopt it for payments. However, not everyone agreed with Dorsey. David Schwartz, chief technology officer at Ripple, stated, 

“I don’t really know what Jack was trying to communicate here. I think he’s somehow trying to say that bitcoin should be seen as a payment system rather than a speculative asset. But I don’t know.”

Strategy Adds To Bitcoin Holdings 

The cryptocurrency market is back in the red as crypto assets struggle to regain momentum after the October 10 flash crash. Despite the market downturn, institutional confidence in Bitcoin (BTC) remains strong. Strategy, the largest corporate holder of BTC, bought the dip, expanding its crypto holdings. According to a post by Strategy executive chairman Michael Saylor, the firm purchased 168 BTC for $18.8 million at an average cost of $112,051 per coin. Strategy now holds 640,418 BTC, valued at over $69.3 billion. 

“Strategy has acquired 168 BTC for ~$18.8 million at ~$112,051 per bitcoin and has achieved BTC Yield of 26.0% YTD 2025.”

Bitcoin (BTC) Price Analysis 

Bitcoin (BTC) slumped to a low of $107,444 during the ongoing session as sentiment waned thanks to lingering macroeconomic risks related to the trade tensions between the US and China. BTC rebounded over the weekend and reclaimed $108,000, settling at $108,676. The price continued rising on Monday, reaching an intraday high of $111,748 before settling at $110,568. However, selling pressure returned during the ongoing session, with the flagship cryptocurrency down nearly 2% at $108,893. 

Jeff Mei, COO at BTSE, believes Bitcoin and the broader cryptocurrency market may continue to exhibit volatility in the near term. 

“We simply believe that macro concerns are driving day-to-day changes in the market. Volatility will continue as long as there are trade tensions between the U.S. and China.”

Mei added that he believes the latest decline is driven by traders de-risking ahead of the upcoming meeting between President Donald Trump and Chinese President Xi Jinping. The meeting is set to take place in South Korea at the end of October. 

“While it's possible that they may come to an agreement at the end of the month and cause markets to rally, it's unlikely that tensions will evaporate altogether.”

Meanwhile, spot Bitcoin ETFs reported $40.5 million in net outflows, according to data from SoSoValue. The crypto market Fear & Greed Index is still in “Fear” territory, indicating investors remain wary of risk. 

“The biggest risk to crypto markets today is the fact that macro developments and trade discussions are unpredictable — markets can rise and fall at the whims of a single tweet. All investors can really do is diversify their assets and attempt to hedge against uncertainty.”

The October 10 market crash also wiped out optimism around “Uptober”, with BTC down over 2% on the monthly timeframe. Forex analysts stated, 

“So far this year, Uptober hasn’t gone to plan for Bitcoin bulls. Instead of seasonal strength, the price action has remained subdued with an early rally fizzling midway through the month, delivering an ugly reversal that may not be over yet.”

BTC and the broader crypto market crashed last Friday (October 10), after President Trump announced 100% tariffs on Chinese goods and new export controls for software. The announcement was made in retaliation for China imposing restrictions on rare earth mineral exports. As a result, BTC plunged to $102,000 on Binance before recovering and settling at $112,980. Selling pressure persisted on Saturday as the price fell almost 2% to $110,768. Despite the overwhelming selling pressure, markets recovered on Sunday as BTC rose nearly 4% to reclaim $115,000 and settle at $115,067. The price faced selling pressure and volatility on Monday, ultimately registering a marginal increase and settling at $115,274.

Source: TradingView

Selling pressure returned on Tuesday as BTC fell to an intraday low of $109,945. It recovered from this level to reclaim $113,000 and settle at $113,068, ultimately dropping 1.91%. Sellers retained control on Wednesday as the price fell 2% to $110,804. Bearish sentiment persisted on Thursday as BTC fell below $110,000 and settled at $108,198. The price plunged to $103,516 on Friday as selling pressure intensified. However, it recovered from this level to settle at $106,463, ultimately dropping 1.60%. BTC rose on Saturday, rising 0.70% to reclaim $107,000 and settle at $107,208. Buyers retained control on Sunday as the price rose over 1% to cross $108,000 and settle at $108,676. Bullish sentiment intensified on Monday as BTC’s recovery continued. As a result, the price rose nearly 2% to reclaim $110,000 and settle at $110,568. The flagship cryptocurrency is down almost 2% at $108,619.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.