Bitcoin 
$103,128.64 At the time of writing, its price continues to find buyers at 103 thousand dollars. government shutdown It was eliminated with the interim budget approved by Trump in the early morning hours. The expectation throughout the market was that there would be a rapid rise after the lockdown ended, but this did not happen. But why? What happens now?
Government Shutdown and Cryptocurrencies
After the longest government shutdown in history officially ended, investors’ risk appetite did not increase. On the contrary, there is a decline in stock futures. The dollar weakened while the yield on Treasury bonds increased. Gold continues its rise on the fifth day.
So why aren’t we seeing an uptick following the government shutdown? This is actually in cryptocurrencies It’s something we’re used to. The news is priced in advance and when it happens, it does not produce the expected results. This is exactly what is happening today. It was clear days before the government shutdown would end when the filibuster was ended by the Senate. The House of Representatives only had until Wednesday to approve it.
Since Republicans have the majority in the House of Representatives, the passage of the interim budget in the Senate is logically sufficient for the closure to end; the ongoing process is just a procedure.
What Will Happen to Cryptocurrencies?
After months of strong gains, markets were blindsided by the shutdown. Concerns about the valuations of technology companies have negatively impacted the stock market during this period, and the government reopening will only bring volatility once the data flow is restored. It is unclear whether even October data will be published accurately.
Amid fragile consumer confidence and ongoing inflationary pressures Fed’s The possibility of a rate cut in December is not certain. The probability of a 25bp reduction for the interest rate decision to be announced after 27 days is at 53 percent.
In the coming days, we will start to see October data, which is probably not very reliable. Due to the longest closure in history, it is not thought that data can be collected accurately. white house He also made a statement in this regard. This being the case, the interest rate cut expectation has decreased as the possibility of the Fed making its second blind decision at the December meeting has increased. If the expected scenario occurs, the data will not arrive and we will not be able to get a clear opinion about the current situation of the economy until the November figures are announced in December. Since this situation will cause the Fed to keep interest rates constant on December 10, cryptocurrencies will continue to show neutral and negative performance in the process.
