US gov shutdown ‘likely’ to end this week: Trump adviser

💡 DMK Insight

The potential end of the government shutdown could be a pivotal moment for crypto regulation, which has been stalled during this period. If Hassett’s prediction holds, expect a surge in regulatory clarity that could influence institutional sentiment towards crypto assets. Historically, regulatory announcements have led to significant price movements; for instance, when the SEC provided clearer guidelines in 2019, Bitcoin saw a rally of over 300% in the following months. Traders should keep an eye on key resistance levels around $30,000 for Bitcoin and $2,000 for Ethereum, as a regulatory breakthrough could trigger a bullish momentum that tests these thresholds. Additionally, watch for shifts in funding rates and open interest in futures markets, as increased institutional participation could lead to heightened volatility. The real story here is how quickly institutions react—if they start accumulating positions ahead of regulatory clarity, we could see a rapid price appreciation. However, it’s crucial to remain cautious. If the regulatory framework is perceived as overly restrictive, it could lead to a sharp sell-off. So, monitor sentiment closely and be prepared for potential whipsaws in price action as the news unfolds.