Privacy Coins Surge as Bitcoin, Ethereum Rally Ahead of Fed Rate Decision

I. Crypto Market Overview

Key Takeaways

Macro Environment

The Federal Reserve is expected to cut rates this week, boosting risk appetite and DeFi liquidity. Regulatory clarity in the US and India is driving digital asset adoption, while stablecoin payments have surged 70% post-GENIUS Act. The ECB maintains current rates as Eurozone inflation stabilizes, supporting crypto-fiat pair stability.

Crypto Market

The crypto market rallied in the past 12 hours, led by Bitcoin up 1.90% to $113,869 and Ethereum up 3.46% to $4,082.84, driven by anticipation of a Fed rate cut. Privacy coins surged, with Zcash up 23.91% and DASH up 16.20%, while Hyperliquid gained 14.76% on Robinhood listing news. Altcoins showed strong sector rotation into privacy and new listings.

Today's Outlook

No major token unlocks or high-impact events are scheduled for today. Market focus remains on macroeconomic expectations and upcoming central bank decisions, with volatility likely to increase ahead of the US Fed and ECB rate announcements later this week.

Fear and Greed Index

42.00% Annual Percentile

34 Fear

Total Crypto Market Cap

$3.84T

2.17%

Total Market Trading Volume

$99.34B

6.30%

Altcoin Season Index

50.00%

Quarterly Percentile

26 / 100

Total Futures Market Open Interest

3.42B

1.37%

Futures

845.82B

1.21%

Perpetuals

II. Industry Updates

Macro-economic Policies

The Federal Reserve is expected to announce an interest rate cut this week, which could boost Bitcoin to $115,000–$120,000 and increase DEFI liquidity if macroeconomic conditions are favorable.

A preliminary US-China trade agreement has strengthened market confidence, driving crypto market capitalization to $3.83 trillion and supporting risk asset inflows.

US electric vehicle investments dropped 30% in Q3 2025 due to policy shifts favoring gasoline, potentially reducing US competitiveness and impacting crypto sectors linked to green energy.

The ECB considers current interest rates appropriate as Eurozone inflation hits the 2% target, supporting euro stability and reducing volatility in crypto-fiat trading pairs.

Upcoming Australian CPI data on October 29 will determine the likelihood of an RBA rate cut, with potential effects on AUD-denominated crypto trading and DeFi market flows.

Cryptocurrency Regulatory Trends

Michael Selig has been appointed as CFTC chair by President Trump, signaling a pro-crypto regulatory shift and boosting market confidence in U.S. digital asset oversight.

The U.S. government shutdown has stalled SEC reviews of crypto ETFs, delaying Cardano and XRP ETF decisions and creating short-term uncertainty for institutional investors.

The Madras High Court in India has ruled that cryptocurrencies, including XRP, are property under Indian law, providing legal protection and clarity for digital asset holders.

Stablecoin payments in the U.S. have surged 70% since the GENIUS Act's implementation, reflecting regulatory clarity and driving increased adoption in cross-border transactions.

Hong Kong's blockchain policy remains supportive of stablecoins and tokenized assets, but regulatory uncertainty in mainland China may impact local financial institutions' participation.

Zcash (ZEC): ZEC surged 23.9% in 24h with $857M volume, driven by renewed privacy coin narrative and breaking multi-year downtrends as highlighted in recent 'Dino coin' coverage.

DASH (DASH): DASH rose 16.3% in 24h with $165M volume, fueled by the privacy coin sector rebound and investor rotation into older 'dinosaur' coins per latest market analysis.

Hyperliquid (HYPE): HYPE gained 14.8% in 24h with $601M volume, following news of a $1B treasury expansion plan and a new Robinhood listing, sparking strong market momentum.

Smart Money Movements

A smart money address acquired 88.61 WBTC for $10 million at an average price of $112,846, increasing its total WBTC holdings to approximately $30 million.

A major whale invested an additional $14.41 million to purchase 126.18 WBTC, bringing total WBTC holdings since October 21 to 397.91 WBTC valued at $44.41 million.

Richard Heart transferred 11,558 ETH worth $46.91 million to a new wallet and routed the funds through Tornado Cash, drawing attention for the large sum and privacy measures.

A Bitcoin whale accumulated 3,195 BTC valued at $356.6 million within three hours, highlighting significant ongoing large-scale investor activity.

Aerodrome Finance (AERO) surged 10.53% to $0.90 as whales accumulated 90.59 million tokens and buybacks increased by 13% to $453,000.

Events to Watch

Oct 28 (Tue)

GRASS (GRASS) unlocks 181M tokens (72.4% supply, $79.3M); SIGN (SIGN) unlocks 290M tokens (21.48% supply, $12.1M); VULT token debuts.

Oct 29 (Wed)

Australia releases Q3 CPI and monthly inflation data; Bank of Japan holds monetary policy meeting; AI Expo Africa opens in Sandton.

Oct 30 (Thu)

US Fed, ECB, and Bank of Japan announce interest rate decisions; US Q3 GDP and core PCE data released; Kamino (KMNO) unlocks $14.2M tokens; Global Blockchain Congress in Dubai.

Oct 31 (Fri)

$31B Bitcoin options expire; SUI unlocks 43.96M tokens ($113M); HODLWEEN 2025 in Charlotte; Ethereum Mexico and Age of Bitcoin events.

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