NEW YORK, United States / CryptoWire.AI / – Bitcoin climbed to a one-week high near $84,500 on Wednesday, October 21, as the crypto market recovered from a mid-October slide. The largest cryptocurrency rose 2.5% over 24 hours after falling below $80,000 earlier in the month. XRP and Zcash led gains among major tokens. The rebound revived talk of “Uptober”, the nickname traders give to a month that has historically delivered strong Bitcoin returns.
The total value of the crypto market rose by more than 2% over the same period. Ethereum gained 2.5% to $2,504, while Solana added 2.2% to $108.18. BNB rose 2% to $749. XRP climbed 4.1% to $1.37, the best result among the large tokens. Zcash jumped 11.2% to $1,332 and has gained 15.3% over seven days. Reports linked the Zcash move to its next network upgrade, NU7, which is scheduled for November.
Market sentiment also improved. The Crypto Fear & Greed Index, which runs from 0 for extreme fear to 100 for extreme greed, stood at 55. That reading is neutral but 3 points higher than the previous day. It suggests traders have stopped selling in panic but are not yet chasing prices higher. October began with a sharp dip that pushed Bitcoin below key support levels.
Oil and bond yields weigh on risk assets
Brent crude, the global oil benchmark, has traded between $97 and $112 a barrel this month and stood near $108 on Wednesday. The war with Iran continues to fuel supply concerns. Washington rejected an Iranian plan to reopen the Strait of Hormuz in late September. Higher oil prices feed into inflation, which pushes up bond yields. A 10-year U.S. Treasury yield of 5.09% added to the pressure, though oil and yields both eased slightly on Wednesday.
U.S. consumer prices rose 3.7% in September from a year earlier, above the 3.6% economists expected and up from 3.4% in August. Government bonds paying more than 5% with little default risk draw money away from stocks and crypto. Higher rates also raise the cost of borrowing for leveraged trades. The Federal Reserve’s benchmark rate stands at 3.75% to 4% after a September increase. CME FedWatch data point to a roughly 80% chance of a hold on October 28, with markets expecting a hike on December 9.
Bitcoin reclaims key support level
On the daily chart, Bitcoin opened Wednesday at $82,928.80 and reached $84,726.28. It has bounced about 6% from this month’s low near $79,711. The 50-day exponential moving average sits near $80,782, above the 200-day average at about $76,084. That alignment is the standard sign of an uptrend. Bitcoin trades about 4.6% above the shorter average. The Relative Strength Index reads 58.5, which shows buyers hold the edge without being overbought.
A daily close above $84,726 could open a move towards $86,090 and then the September high of $87,422.70. Traders on Myriad, a prediction market run by Decrypt’s parent company Dastan, priced the odds of Bitcoin touching $87,500 in October at 31%, down from 45% on October 12. A close below $81,603 would point to the 50-day average, the October low and then the 200-day average at $76,084.