Bitcoin Crashes Below $100,000 Again and Drags Altcoins
Given that cryptocurrencies tend to behave like high-beta risk assets, a rebound remains possible if risk sentiment stabilizes.
Quick overview
- The cryptocurrency market experienced a significant sell-off on Thursday, with Bitcoin dropping 2.6% and Ethereum falling 6.2%.
- Altcoins also faced substantial losses, including Solana down 7.5% and Dogecoin down 5.1%.
- The end of the longest U.S. government shutdown initially boosted risk appetite, but analysts caution that upcoming economic data may negatively impact markets.
- Traditional markets also declined, with major U.S. indexes like the Dow Jones and S&P 500 experiencing notable drops.
A broad sell-off hit the cryptocurrency market on Thursday, with digital assets trading sharply lower despite expectations of a potential rebound following the end of the longest U.S. government shutdown in history.
Bitcoin (BTC) slid 2.6% to $98,900, according to Binance. Ethereum (ETH) tumbled 6.2% to $3,199.
Altcoins also suffered widespread losses:
End of the Shutdown: A Step Forward — With New Questions
On Wednesday, the U.S. House of Representatives approved the bill that ended the 43-day shutdown, the longest in U.S. history, with a 222–209 vote. President Donald Trump signed it shortly after, calling on Americans to “not forget this.”
While the reopening initially boosted risk appetite, analysts warn that once federal agencies resume full operations, long-delayed economic data may paint a darker picture of the U.S. economy — potentially influencing crypto markets.
Given that cryptocurrencies tend to behave like high-beta risk assets, a rebound remains possible if risk sentiment stabilizes after the data wave.
Traditional Markets Also Slide
Meanwhile, Wall Street saw sharp declines as investors rotated out of tech and priced in lower odds of a December rate cut — overshadowing any relief from the shutdown’s end.
Major U.S. indexes dropped:
- Dow Jones: –1.7% to 47,456.98
- S&P 500: –1.6% to 6,738.61
- Nasdaq Composite: –2.3% to 22,870.36
Both crypto and equity markets remain sensitive to shifting expectations around U.S. economic data and Federal Reserve policy.
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