Bitcoin, Ethereum, and Ripple are showing gains as traders assess macroeconomic uncertainty and political risks related to a potential US government shutdown. Polymarket indicates a 77% chance of a partial government shutdown by the end of the week.
Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) are showing gains as traders navigate macroeconomic uncertainty and political risks amid the looming threat of another United States (US) government shutdown. The odds of a partial US government shutdown by the end of the week have increased to 77% on the prediction platform Polymarket.
The US Senate is expected to vote on a $1.2 trillion package to fund government operations. However, challenges are emerging as Democratic senators withdraw support due to pushback against federal immigration agents. A partial government shutdown will begin on Friday if the Senate fails to approve the deal.
Historically, government shutdowns have triggered risk-off sentiment across financial markets, with digital assets often bearing the brunt of volatility as investors flee to safer havens. Bitcoin is eyeing a short-term breakout above $90,000, while Ethereum holds above $2,900. Key takeaways:
- Polymarket indicates a 77% chance of a partial US government shutdown by the end of the week.
- Bitcoin, Ethereum, and Ripple are showing gains despite shutdown fears.
- Government shutdowns historically trigger risk-off sentiment in financial markets.
- The US Senate is expected to vote on a $1.2 trillion funding package.
- Bitcoin is eyeing a short-term breakout above $90,000.