Why Crypto Market Is Up Today: Fed Rate Cut and ETF Optimism Behind?

Have you noticed the crypto charts flashing green again? After weeks of turbulence, traders are asking one question — why crypto market is up today. The answer lies in a mix of macro policy shifts, ETF anticipation, and investor psychology that’s turning November into what many are calling “Moonvember.”

Fed Rate Cut Triggers Risk Appetite

The U.S. Federal Reserve’s decision on October 29 to cut interest rates by 25 basis points (now between 3.75%–4.00%) is the primary catalyst behind today’s rebound. Lower rates typically make risk assets like Bitcoin, Ethereum, and altcoins more attractive as borrowing costs drop and liquidity flows back into markets.

Adding to this, the Fed quietly injected $29.4 billion into the banking system via overnight repos — the highest in years. This surprise liquidity boost signaled potential financial stress but also handed traders a short-term lifeline to take bigger bets.

Together, the rate cut and the liquidity injection have revived market confidence, sparking a mild rally across top digital assets.

Bitcoin, Ethereum, XRP Show Renewed Strength

The overall global crypto market cap stands at $3.79 trillion, up 0.7% in the last 24 hours, with $132 billion in daily trading volume.

• Bitcoin (BTC): Up 0.21% to $109,963.80, holding a $2.19 trillion market cap.
  

• Ethereum (ETH): Gained 0.81%, currently at $3,874.14 with $467.6 billion in market cap.
  

• XRP: Rose 0.41% to $2.50, following heightened excitement around its XRP ETF filing and approval date shift to November 13.

Bitwise recently submitted Amendment #4 to its XRP ETF filing , detailing NYSE listing plans and a 0.34% fee. This update fueled speculation that an XRP spot ETF could be imminent — a move that would make XRP the third major crypto ETF after Bitcoin and Ethereum.

U.S. Government Shutdown & Liquidity Paradox

The U.S. government shutdown, now over 30 days long, is on track to become the longest government shutdown in U.S. history by next week. Despite this political gridlock, the government somehow managed to add $100 billion in federal debt in just four days , leaving investors puzzled but hopeful.

This paradox — fiscal chaos alongside endless liquidity — has pushed risk-tolerant investors back into digital assets. For many, crypto now appears to be a hedge against the system itself.

Market Fear or “Moonvember”?

While optimism grows, not everyone is convinced this rally will last.
Financial author Robert Kiyosaki warned on X that a “massive crash is beginning,” urging investors to shield themselves with Bitcoin, Ethereum, gold, and silver.

At the same time, Tom Lee Bitcoin price prediction of a possible drop to $55K this year has injected caution into the euphoria, with some traders preparing for volatility ahead.

Still, the blend of positive macro signals and ETF anticipation has many dubbing this month “Moonvember.” Whether it’s the start of a new bull phase or a temporary spike, momentum has clearly shifted toward the upside.

Conclusion

In essence, why crypto market is up today boils down to one theme — liquidity. With the Fed easing rates, injecting capital, and ETF optimism heating up, risk appetite is back. But looming warnings from experts like Kiyosaki and Lee remind traders that November could either be the launchpad for the next bull run — or the calm before another storm.

Disclaimer: This is for educational purposes only. Always do your own research before any crypto investment.