The longest U.S. government shutdown in history weighed on crypto markets, as Treasury yields and Fed policy added pressure to Bitcoin’s price decline.
The 40-day U.S. government shutdown, the longest on record, pressured risk assets, including Bitcoin and Ethereum. Elevated Treasury yields and Federal Reserve policy intensified market weakness, driving Bitcoin below $99,000. Long-term holders sold 405,000 BTC valued at over $42 billion during the shutdown, adding to volatility. While lawmakers ended the shutdown, crypto markets remain in the red. The Senate has advanced budget negotiations with 60 votes, which could help stabilize markets.