Why did cryptocurrencies rally in October?

Investors are excited about the potential for bitcoin ETFs in the U.S.
"A spot bitcoin ETF could bring in as much as $50 billion to $100 billion in inflows over the next five years" and "could have an outsize impact on the price of bitcoin," Ryan Rasmussen, analyst at asset manager Bitwise, said Tuesday in an interview with CoinDesk TV.

He said he expects the SEC to green light ETF applications as soon as December, before the holidays. Bitwise is one of the firms that wants to list one.
Crypto investment services firm Matrixport said that elevated funding rates on the BTC derivatives market suggest that many traders "panic bought" on the way up in a fear of missing out of the rally.
On top of the ETF hype, sector specific momentum, short liquidations and macroeconomic headwinds also contributed to the price increase, crypto analytics firm CoinMetrics said in a report Tuesday.
"This market movement suggests renewed confidence and indicates a potential shift in the dynamics around digital asset markets," CoinMetrics analyst Tanay Ved said.

Highlighting a shifting sentiment, investment legend Paul Druckenmiller said at a Robin Hood fireside chat Monday with hedge fund manager Paul Tudor Jones that he "likes" bitcoin and gold as an investment and store of value asset. He said he owns gold because it's a "5,000-year-old brand," but young people prefer to own BTC because it's "easier to do stuff with."