Bitcoin Rises 3% Amid U.S. Government Shutdown Concerns
Crypto Market Overview
- Bitcoin [BTC] rose by roughly 3% to $116,400 amid the U.S. government shutdown.
- The CoinDesk 20 index increased by 3.5%.
- Spot crypto ETFs saw over $550 million in net inflows on September 30, with bitcoin ETFs being the majority.
- The Federal Reserve is expected to cut interest rates, with an 85-95% likelihood of a 25 bps reduction, potentially increasing appetite for cryptocurrencies.
- Institutional involvement deepened, with BlackRock's iShares Bitcoin Trust surpassing Deribit as the top venue for bitcoin options trading.
- Swiss digital bank Sygnym launched a BTC Alpha Fund to generate yield without reducing bitcoin exposure.
Market Movements
- [BTC] is up 1.54%, trading at $116,430.81.
- [ETH] increased by 2.8%, trading at $4,313.90.
- Average crypto RSI approaching overbought territory suggests possible consolidation.
- Altcoins like zcash (ZEC) surged, while ASTER declined by 6.8%.
Derivatives & Technical Analysis
- BTC futures open interest remains high, indicating sustained trader engagement with positive sentiment.
- Funding rates are positive, suggesting strong demand for leveraged long positions.
ETFs & Institutional Activity
- Spot BTC ETFs daily net flow: $429.9 million, total holdings ~ 1.32 million BTC.
- Spot ETH ETFs daily net flow: $127.5 million, total holdings ~ 6.58 million ETH.
Upcoming Events
- SEC to decide on 16 spot crypto ETF applications this month.
- GnosisDAO proposal vote ends on October 1.
- SUI and EIGEN token unlocks scheduled for October 1.
- Swam Network (SWM) token launch on major exchanges on October 1.
Other Developments
- Ripple CTO David Schwartz will step back and join the board, focusing on family and XRP projects.
- Tether plans to distribute its stablecoin USAT via Rumble’s planned crypto wallet.