Key Takeaways
- The U.S. Senate passed the bill to end the 40-day shutdown; the House is expected to approve it soon.
- Bitcoin surged past $106K, while Ethereum and XRP also recorded gains.
- A reopened government restores SEC operations, potentially impacting pending crypto decisions.
- Historical trends suggest government reopenings often trigger bullish market sentiment.
Senate Passes Bill Ending 40-Day Shutdown
In a surprise late-night session, the U.S. Senate passed an amended appropriations bill to reopen the government, ending the 40-day shutdown—the longest in American history. The bill now moves to the House, where a final vote is expected within hours. Federal operations could resume as soon as tomorrow, restoring normalcy to key agencies and economic functions.
Lawmakers expedited the vote ahead of schedule, with one insider noting, “I thought they wouldn’t be done until later tonight, but they sped through that. They want out of this town.” With the Senate adjourned for the week, all eyes now shift to the House’s swift approval.
Bitcoin Reacts: Crypto Market Gains Momentum
The announcement of the government reopening triggered an immediate response in crypto markets. Bitcoin surged past $106,000, its highest level in nearly a week. Ethereum also recorded a solid gain, while XRP climbed over 2%.
Also Read: Crypto Market on Fire: Smart Money Moves Before the Next Correction
Traders are optimistic that renewed governmental activity, particularly from the SEC, could accelerate pending crypto-related decisions such as ETF approvals. The resolution of the shutdown has reduced market uncertainty, boosting risk appetite and encouraging investors to re-enter digital assets.
Historical Context and Market Implications
Past shutdown resolutions have often coincided with bullish sentiment in risk assets, including cryptocurrencies. For example, the 2020 government reopening initially fueled a broad rally, though external factors later impacted the trend.
Analysts note that Bitcoin holding above the $100,000 support zone signals strong market resilience. Combined with Federal Reserve caution on rate hikes, these conditions suggest potential momentum for crypto in the near term. A fully reopened government also restores funding for key regulatory bodies like the SEC, which could influence market-moving decisions and trading activity.
Also Read: Fidelity’s Solana ETF Filing Gets SEC Nod Amid Market Turmoil
Conclusion
The end of the U.S. government shutdown is a major relief for markets, and Bitcoin’s rapid ascent reflects renewed confidence among traders. With the House set to approve the bill, federal operations—including crucial regulatory oversight—are poised to resume, offering fresh momentum for the crypto market and risk assets overall.
