US Government Partial Shutdown Sparks Market Caution Over 'Chaotic Monday' Risk for BTC and ETH

Impact of US Government Partial Shutdown on Crypto Markets

Recently, the US government partially shut down as a budget bill failed to pass before the deadline, prompting cautious sentiment across financial markets. Bitcoin (BTC) and Ethereum (ETH) prices have notably weakened in response.

Although the Senate has passed a temporary funding bill, the House of Representatives won't vote on it until Monday, leading to a technical shutdown over the weekend. BTC has already dropped below $83,000, and traders are adopting defensive strategies ahead of the critical vote.

Market Risks and Volatility Outlook

While a short-term government shutdown is unlikely to cause significant economic damage, the combination of low weekend liquidity and intense political news flow could amplify short-term volatility in crypto markets.

• Shutdown may heighten uncertainty
• Low liquidity could lead to sharper price swings
• Markets sensitive to political developments

Investors are advised to remain vigilant and closely monitor the outcome of Monday's House vote and its potential ripple effects across digital asset markets.