Why Is Crypto Down Today? – October 28, 2025

What Happened

Meanwhile, crypto lender Ledn has issued over $1 billion in Bitcoin-backed loans this year. This is a sharp rise in crypto credit demand as investors choose to borrow instead of selling during the bull market.

Moreover, Citi and Coinbase announced plans to develop digital asset payment capabilities for institutional clients. This could bring Wall Street closer to the digital asset ecosystem.

Meanwhile, Fabian Dori, Head of Investments at Sygnum Bank, argues that the US government shutdown is depriving investors of key economic data that helps them make informed decisions about inflation trends and market positioning.

Therefore, various market indicators – including a brief drop of the fear & greed index into the ‘fear’ territory, the spike in Deribit’s BTC volatility index, and average borrowing and lending APYs cooling from peaks – indicate that “many investors are still digesting the recent happenings and are trying to look through the settling dust.”

“Given constructive business-cycle signals, resilient corporate earnings, accommodative liquidity, and ongoing institutional adoption of crypto, CPI readings that modestly undershot expectations and validated the Fed’s projection of a mid-term easing in inflation pressures could help reignite investor risk appetite,” Dori concludes.

Market Context

The crypto market is down today, with the cryptocurrency market capitalization decreasing by 1.1%, now standing at $3.95 trillion. Nearly 90 of the top 100 coins have dropped over the past 24 hours. At the same time, the total crypto trading volume is at $156 billion.

At the time of writing, 9 of the top 10 coins per market capitalization have seen their prices decrease over the past 24 hours.

Bitcoin (BTC) decreased by 1.2% since this time yesterday, currently trading at $114,289.

The highest drop in the category is 2.7% by Dogecoin (DOGE), now trading at $0.2006.

XRP recorded the only rise in the category. It’s up by 0.4%, trading at $2.64.

Looking at the top 100 coins, a dozen are up and the rest are in the red. Among the red coins, one recorded a double-digit fall. Pi Network (PI) fell 21.1% to the price of $0.2287.

According to Glassnode, markets remain cautious, while several indicators point to “stabilization beneath the surface.”

“Adding to the uncertainty are the shock waves from the recent crypto flash crash, which exposed still-existing fragile points in the market structure and leverage in altcoins that were difficult for stressed liquidity to absorb,” Dori says.

He argues that “this confirms, once again, the need for a comprehensive market structure bill, which is also impacted by the political stalemate.”

Why It Matters

“Until conviction deepens and demand broadens, Bitcoin is likely to remain in a rangebound consolidation, with cautious optimism beginning to replace defensive positioning,” Glassnode concludes.

Details

Crypto Winners & Losers

Ethereum (ETH) is down by 2.1%, now changing hands at $4,120.

It’s followed by Binance Coin (BNB)’s 2.2% to $1,131.

It’s followed by Zcash (ZEC)’s 6.6%fall to $325.

On the other hand, two coins saw double-digit rises. Figure Heloc (FIGR_HELOC) appreciated 38.8%, now changing hands at $1.36.

The other is Hedera (HBAR), which is up 16.3% to $0.2114.

The collaboration aims to make it easier to move between fiat and crypto, and then to expand into payments orchestration for always-on settlement.

‘BTC Is Stabilizing as Sell Pressure Eases and Profitability Improves’

Notably, selling pressure has eased, leverage has reset, and profitability is improving, they write. That said, participation and on-chain activity remain muted.