Cryptos Rebound as Bitcoin Fights to Hold $113,000
mong altcoins, gains were more modest. BNB and Tron advanced between 0.5% and 1.2%, while Dogecoin (-0.7%), Cardano (-0.8%).
Quick overview
- Cryptocurrencies experienced broad gains on Tuesday, with Bitcoin rising 0.6% and Ethereum climbing 1.2%.
- September is proving to be one of Bitcoin's strongest months, with a 4% advance, defying historical trends of seasonal weakness.
- Stablecoins reached a record supply of over $300 billion, highlighting their growing importance in the crypto economy.
- Investors are wary of a potential U.S. government shutdown, which could introduce additional volatility in financial markets.
Cryptocurrencies posted broad gains on Tuesday, attempting to shake off the volatility of recent days. Bitcoin (BTC) rose 0.6% and is looking to end September above $114,000, while Ethereum (ETH) climbed 1.2%, nearing the $4,200 mark.
The rebound comes after a shaky start to the week that erased part of the month’s accumulated gains. Still, September is shaping up to be one of Bitcoin’s strongest months of the year, with an advance of roughly 4%—a performance that breaks with the historical narrative of seasonal weakness in September.
Support around $111,000 will be key in determining whether BTC can stage another push toward higher levels. Meanwhile, Ethereum faces a crucial technical test: if the $4,000 level fails to hold, downside risks could intensify significantly.
Among altcoins, gains were more modest. BNB and Tron advanced between 0.5% and 1.2%, while Dogecoin (-0.7%), Cardano (-0.8%), XRP (-0.4%) and BNB (-0.4%) traded lower.
Stablecoins Hit Record Supply, DeFi Reaches New Highs
Beyond the volatility in BTC and ETH, stablecoins continue to strengthen their role at the core of the crypto economy. Total supply surpassed $300 billion—a record high that underscores both their growing global adoption and their expanding function as a bridge between on-chain and off-chain economies.
The decentralized finance (DeFi) ecosystem also reached fresh milestones. Total Value Locked (TVL) hit an all-time high, supported by upgrades aimed at institutional adoption and regulatory compliance. Within this segment, the Tron network stood out, with TVL climbing above $8.2 billion thanks to new technology integrations and governance improvements.
Potential U.S. Government Shutdown Adds to Uncertainty
Investors remain focused on the U.S. macroeconomic calendar. The September jobs report, due Friday, is a key release at a time when the Federal Reserve has highlighted labor market fragility. Several Fed officials have signaled reluctance to deliver further rate cuts if employment data continues to weaken.
At the same time, markets are growing increasingly concerned about the prospect of a partial U.S. government shutdown. Unless Congress passes a federal budget by October 1, a shutdown would take effect—potentially adding fresh volatility to financial markets, including the crypto sector.
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