Key Takeaways
- The U.S. Senate has passed a bill to reopen the government after a record 40-day shutdown.
- Bitcoin instantly rallied above $106,000, with Ethereum and XRP also rising.
- The return of federal operations could reignite crypto optimism and regulatory progress.
Government Reopens After Record Shutdown
In a surprise late-night move, the U.S. Senate has approved the amended appropriations bill to reopen the government after the longest shutdown in American history — 40 days of halted services, delayed payments, and mounting political pressure. The bill now moves to the House of Representatives for a final vote, expected within hours.
According to Capitol Hill reporters, lawmakers rushed the process to conclude before the weekend. One source close to the negotiations remarked, “I thought they wouldn’t be done until later tonight, but they sped through that. They want out of this town.”
With the Senate now adjourned for the week, Washington’s focus shifts to the House. If the vote proceeds as expected, federal operations could resume as early as tomorrow — a relief for millions of public workers and markets held in limbo.
Bitcoin Reacts Instantly to Political Clarity
Minutes after the Senate vote, Bitcoin surged past $106,000, its highest level in nearly a week. Ethereum also climbed steadily, while XRP gained over 2%. The swift reaction underscores crypto’s sensitivity to macroeconomic stability and political developments.
The prolonged shutdown had frozen key government activities, delayed regulatory decisions, and dampened risk sentiment across global markets. With Washington’s machinery restarting, traders appear to be pricing in renewed confidence and the potential for pending crypto approvals — particularly the long-awaited Bitcoin ETF decisions.
Crypto analysts note that this kind of rebound mirrors previous government reopenings. “Every time the U.S. resolves a major fiscal impasse, Bitcoin tends to react positively,” said one market strategist. “It’s partly relief, but also a broader return of risk appetite.”
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A Familiar Pattern in Market Behavior
This isn’t the first time political gridlock has influenced crypto trends. When the U.S. ended its 2020 budget standoff, Bitcoin and other digital assets entered a sharp rally phase, reflecting investor optimism and liquidity inflows.
Today, similar conditions are taking shape. The Federal Reserve’s cautious stance on interest rates and the restoration of federal funding are setting a foundation for renewed growth. Analysts suggest that as long as Bitcoin holds above the $100,000 support zone, the outlook remains bullish heading into late 2025.
Additionally, the reopening of government agencies such as the Securities and Exchange Commission (SEC) could accelerate long-pending decisions tied to the crypto industry. This includes ETF applications, stablecoin oversight, and token classification rulings — all crucial factors for mainstream adoption.
What Comes Next for Crypto and Policy
A functioning government means more than just reopened offices — it restores a critical link between financial markets and regulation. For the crypto sector, this could translate into a clearer policy roadmap and improved investor sentiment after weeks of uncertainty.
The coming days will be pivotal. If the House swiftly approves the Senate bill and President signs it into law, normal operations could resume by tomorrow morning. That timeline would re-enable the SEC, Treasury, and other agencies to resume their pending crypto-related work — a potential catalyst for further market recovery.
Conclusion: Political Relief, Market Optimism
The end of the 40-day U.S. government shutdown marks not only a political breakthrough but also a psychological one for markets. Bitcoin’s surge above $106,000 reflects renewed confidence that Washington’s paralysis is finally easing.
As the House prepares for its final vote, investors are watching closely. A smooth reopening could reinforce Bitcoin’s bullish momentum and restore the pace of regulatory clarity the industry has long awaited.
For now, crypto traders appear to agree on one thing: stability in Washington means opportunity in the markets.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of GameDegen.com. Before making any investment decisions, you should always conduct your own research. GameDegen.com is not responsible for any financial losses.
