From Washington Chaos to Crypto Gains: Bitcoin Rides Shutdown Rally

As the US government grinds to a halt, the crypto market is shifting into high gear. In a striking divergence, Bitcoin has reclaimed the $121,000 level and Ethereum has jumped to a three-week high amid the political disarray in Washington.

This isn’t a paradox; it’s a pattern. The S&P 500 has historically climbed during government shutdowns, and Bitcoin is now riding those same coattails. Meanwhile, a parallel rally in gold has analysts at JPMorgan declaring Bitcoin undervalued, with a year-end target of $165,000.

The common thread is a loss of faith in traditional finance. “With global debt at record highs… bitcoin is increasingly seen as a liquid, non-sovereign reserve asset,” says Swan Bitcoin’s John Haar, capturing a sentiment that is rapidly pushing prices beyond prior highs.