Bitcoin surged back over $106,000 as excitement builds around the potential end of the US government shutdown, with significant implications for market sentiment.
- Bitcoin’s Recovery: Bitcoin continues to rise amid hopes that the US government will cease its record shutdown this week, enticing investors and risk assets.
- Inflation Data on the Horizon: The release of US inflation data could offer vital insights into potential future Federal Reserve policies.
- Stimulus Payments Influencing Markets: Donald Trump announced a plan to provide a $2,000 payment to most Americans, rekindling hopes reminiscent of past stimulus checks during the COVID-19 pandemic.
- Cautious Trading: Bitcoin derivatives traders are remaining wary, displaying minimal interest in betting on further price highs.
- Whales Remain Active: Bitcoin whales have been consistently selling throughout 2025, maintaining close scrutiny from traders.
BTC Price Spike
Bitcoin’s bulls found renewed hope as the weekly close exceeded $104,500. A chart reveals BTC/USD upholding a key support trend line.
“What a weekly candle close. Are we ready for a green week on the markets?”
— Michaël van de Poppe (@CryptoMichNL)
Amid discussions of the government’s impending shutdown, expectations for inflation data are rising. The recent Senate vote to advance the bill may signal a breakthrough. The Consumer Price Index (CPI) and jobless claims are set to be released soon, potentially revealing the state of the US economy and affecting market volatility.
With stimulus checks echoing previous COVID-19 measures, the scenario reflects traders’ fears and hopes about the economic landscape moving forward, particularly as Bitcoin accumulates at sub-$100,000 levels.
BTC/USD one-hour chart with the 50-week EMA
*Source: Cointelegraph/TradingView
Stay tuned as updates unfold regarding government actions and their effects on the financial markets.
