Bitcoin Eyes $90K as ETF Inflows and Rate Hopes Fuel October Rally

Introduction

Crypto markets opened October with renewed momentum as Bitcoin ETF inflows returned, weaker US jobs data pushed bond yields lower, and BTC briefly climbed above $87,000. At the same time, developments across stablecoins, regulation, and corporate Bitcoin strategies continue to shape the broader digital asset landscape. From liquidity concerns in Latin America to proposed changes under Europe’s MiCA framework and Strategy’s growing Bitcoin dominance, the market is balancing bullish momentum with important structural developments.

Bitcoin ETFs Kick Off October With $103M Inflow

US spot Bitcoin ETFs started October on a positive note, attracting $102.7 million in new investment after recording outflows the previous day. The funds now hold about $109.3 billion in assets, following a strong third quarter that brought in more than $6.3 billion. Bitcoin also gained around 2%, trading near $85,900. Meanwhile, investor interest was weaker for other cryptocurrencies. Ether ETFs recorded $55.4 million in outflows, marking their third straight day of withdrawals, while Solana ETFs also saw money leave. XRP ETFs were an exception, attracting about $4 million in fresh investment.

Bitcoin Jumps to $87K on Weak Jobs Data

Bitcoin briefly climbed above $87,000 after a weaker-than-expected US jobs report increased hopes that the Federal Reserve may avoid raising interest rates. The economy added only 29,000 jobs in September, far below forecasts, while earlier job numbers were revised lower. This pushed US bond yields down and boosted stocks and Bitcoin, since lower yields can make riskier assets more attractive. Bitcoin reached about $87,200 but failed to break to a new multi-month high because strong selling pressure remained around $87,300. Analysts said further declines in bond yields could support additional Bitcoin gains.

Technical Analysis

Following Friday’s weaker-than-expected US jobs report, BTCUSD advanced to $87,213.60 as markets increased expectations that the Federal Reserve could refrain from raising interest rates later in October.

At the time of writing, Bitcoin is trading near $86,290.40 and remains above both the 20- and 50-period Exponential Moving Averages (EMAs). With both averages trending higher, the broader technical bias remains bullish.

Momentum indicators also maintain a constructive tone. The Momentum Oscillator remains above the 100 threshold, while the Relative Strength Index (RSI) continues to hold above the neutral 50 level, indicating that buyers retain a modest advantage.

However, negative divergence between price action and the momentum indicators suggests that bullish momentum may be fading. This increases the risk of a deeper near-term correction, particularly if buyers fail to reclaim recent highs.

From a technical standpoint, a decisive break above the $87,388.29 level would reinforce the bullish outlook and could open the way toward $90,370.71, followed by $91,765.53 and $95,196.64.

Conversely, a sustained move below $82,562.36 would weaken the current bullish structure and increase the likelihood of renewed downside pressure. In that scenario, support levels are seen at $80,177.09, $77,811.81, and $74,960.82.

LATAM Stablecoin Boom Faces Liquidity Bottleneck

Latin America’s growing stablecoin market may rely on a surprisingly small number of companies that provide the liquidity needed to convert stablecoins into local currencies. A recent report found just 16 specialist providers among nearly 500 companies studied. If one of these key providers lost access to banking services, users could face slower withdrawals, higher fees, or temporarily stuck funds. Stablecoins are becoming increasingly important for payments and savings across the region, especially in countries with unstable currencies. Researchers say clearer regulation, more banking access, and multiple independent liquidity providers could make the system more resilient.

Circle Pushes EU to Rethink Stablecoin Rules

Circle is urging the European Union to revise parts of its MiCA crypto rules, especially requirements on how stablecoin issuers hold reserves. Current rules require a large share of reserves to be kept in commercial bank deposits. Circle argues this can create risks if banks run into trouble and wants more flexible liquidity requirements instead. The company also supports keeping cross-border stablecoin issuance, where regulated entities in different regions can jointly issue the same token. Other crypto industry groups are also asking the EU for clearer rules on token classification, derivatives, and blockchain-based recordkeeping as regulators review how MiCA is working.

Strategy’s Bitcoin Lead Looks Tough to Beat

Bitcoin treasury companies may struggle to compete with Michael Saylor’s Strategy because of its massive Bitcoin holdings, strong cash reserves, and ability to borrow at lower costs. Strategy’s financial cushion could help it handle major Bitcoin price drops while continuing to meet debt and dividend payments. The company’s scale also gives it an advantage over smaller rivals trying to build similar Bitcoin-focused businesses. More companies may eventually use spare cash to buy Bitcoin as a long-term reserve asset while keeping enough money for everyday operations. Bitcoin could also continue rising in the coming years, with some forecasts pointing to a possible peak around 2029.

Conclusion

Overall, October has started on a constructive note for the crypto market, supported by renewed Bitcoin ETF inflows, lower bond yields, and resilient price action. However, resistance near recent highs and weakening momentum suggest that volatility could remain elevated in the short term. Beyond Bitcoin, developments in stablecoin liquidity, regulation, and corporate treasury strategies highlight how the digital asset market continues to mature. Investors will now be watching whether Bitcoin can break above key resistance levels while broader regulatory and institutional trends continue to shape market sentiment.