Numerous factors influence the evolution of the crypto market. Regulations affect how accessible digital assets are, while supply and demand drive price changes as consumer preferences rise or fall. But the news is as important in painting an accurate picture of the market as it is in determining the trader’s behavior.
Negative news can lead to FOMO (fear of missing out), while positive news can raise prices. That’s why traders should stay up to date on all the crypto news today to predict near-term price performance and manage speculation.
Besides news, social media posts, and influencer coverage, changes in prices for a digital asset are also driven by factors like the attention a coin receives, as seen with smaller coins like Dogecoin, which benefited from impressive attention following tweets from Elon Musk. Let’s explore more about the importance of the news as a trader and how to leverage it to your advantage.
Why should you closely follow the news?
Although cryptocurrencies aren’t tied to worldwide companies in the same manner as stocks are, for example, their progress is still determined by the real world. Digital assets are increasingly used by enterprises and high-profile individuals, so their performance can drive the price of a cryptocurrency up or down.
This also applies to how the government manages a country. For example, the continuous process of America imposing tariffs on China has affected the market recently, as in October 2025, when the market crashed suddenly, causing investors to incur billions of dollars in losses.
News on regulation in the financial and cryptocurrency worlds also matters, as it affects how users will leverage assets going forward. In addition, developers of cryptocurrencies and blockchains might be compelled to change their approaches in light of the new limits.
When should you not consider the news?
Unfortunately, the news might inflict fear when it comes to collapsing brands or projects. Therefore, traders and investors sell all of their assets associated with failing entities to avoid being left with unvaluable coins. If we take a look back at 2022, when FTX, the cryptocurrency exchange that collapsed, we can see how even leading coins like Bitcoin and Ethereum were affected, as they dropped significantly, reaching new lows in two years.
Some types of news are crafted to induce panic, whether they continue circulating rumors online or use frightening language that includes terms such as “losses”, “fear”, or “alarming”. That’s why it’s ideal to take everything with a grain of salt and program the brain to distinguish genuine and educative news from those that only try to attract as many readers as possible.
How can the news worsen your biases?
Trading biases are dangerous for users because they make them believe information that’s not necessarily true or applicable at the moment, but that confirms their pre-existing beliefs. This is known as confirmation bias, which clouds people’s judgment. Other forms of trading biases include the following:
- The recency bias makes people prioritize more recent information rather than take in past information as well;
- The anchoring bias happens when you consider only a single source of information for an important decision rather than diversifying sources;
- The loss aversion makes people eager to do anything other than suffer losses and only pursue gains, which is not realistic;
Any type of headlines can push your biases forward, so it’s necessary to expand the news channels you take your information from and try comparing them. At some point, you’ll notice their different languages or subjects approaching, depending on their stance towards crypto, companies, or various people.
What if you can use the news to your advantage?
Luckily, you can continue reading the news and taking advantage of their coverage for your trading strategy. First, start tracking important economic events, such as inflation rates and GDP reports, which show how economies grow or decline.
You can also effortlessly predict the market reaction to the news to gauge investors’ future actions. When banks change their interest rate and the market reacts strongly, people also tend to act fast in order not to lose coin value and still gain what’s left behind.
Taking advantage of volatility after major news releases is by far the best strategy for success. Identifying price fluctuations following news that signal changes in monetary policy, for example, can help trade in the short term and profit from price movements.
Where can you find reliable news outlets?
Not all news outlets can be trusted, especially since some simply copy leading news outlets, while others do not professionally cover global subjects. Start with websites known for publishing economic and political news directly from the source. They usually have social media as well, so this is helpful for fast access by activating notifications.
But news isn’t always enough to get a complete picture of the market. Reading economic reports and analyses will help build a specialized vocabulary and also acquire the knowledge to build a reliable trading strategy. Central banks, financial institutions, and economic analysts regularly publish papers on vital economic and political subjects. Finally, subscribing to specialized news services will provide you with comprehensive analyses of various trading topics.
When is the best time for trading based on the news?
Considering the changing news, traders know when to change their positions for the best outcomes. These include:
- The release of key news that helps capitalize on short-term price fluctuations;
- The moments before releasing news, in the case of an outlet timing it;
- The moments after the news release are when the market can be quite volatile, but it will stabilize soon;
Conclusion
Worldwide news is one of the best and worst factors traders must account for in their decision-making. While they offer precious insights into companies’ progress and crypto regulation, news can also instill panic and spread misinformation. Moreover, numerous traders have biases that hinder their ability to see beyond headlines. Therefore, being wary of these aspects when reading the news is imperative for making informed, accurate trading decisions.
