U.S. Government Shutdown Ends: Effects on Bitcoin

US Government Shutdown Ends: Effects on Bitcoin

US President Donald Trump signed the bill that ended the record-breaking 43-day government shutdown in Washington. This development provided relief for federal agencies and millions of employees. On November 12, 2025, the proposal was approved in the Senate with a vote of 60 to 40 following the approval of the House of Representatives.

Bitcoin Rises but Reaction Remains Limited

The reopening of the government led to Bitcoin rising to as high as $106,000. However, following Trump's signing of the bill, Bitcoin and the general cryptocurrency markets responded with limited reaction. What caused this situation?

Although the end of the 43-day shutdown is celebrated as a positive development, it also brings other issues that increase uncertainty in the markets. The White House confirmed that important inflation and employment data from October may not be released. This situation could create macroeconomic uncertainty and complicate the Fed's policy decisions for this year.

Will Liquidity Really Return?

Apart from the data agenda that could impact the Fed's interest rate policy, Trump's announcement of a "tariff dividend" plan that proposed $2,000 aid to every American citizen before signing the government reopening law also caught the attention of investors. This financial stimulus fuels hopes for an increase in liquidity in the markets.

Economist Peter Schiff stated, "The end of the government shutdown has boosted stock futures, gold, silver, and Bitcoin. The deal shows that things are returning to normal in Washington, DC. Deficits and inflation will rise, and investors will continue to seek alternatives to the depreciating dollar."

Comparison with Past Rises

Bitcoin has historically responded strongly to the end of government shutdowns. Analyst Ash Crypto shares that Bitcoin's increases during the periods of February 2018 and January 2019 were 96% and 157%, respectively. However, these rises may have coincided with broader market recoveries.

If the tariff dividend is implemented in the coming period, a significant liquidity injection into the finance and cryptocurrency markets is expected. This could create a positive impact for Bitcoin.

The information provided here does not constitute investment advice.