Bitcoin rose on Wednesday, trading above USD 104,000 as optimism grew that the US government shutdown could soon be resolved.
The House is set to vote later today on a bipartisan compromise that would restore federal funding and end the record impasse.
Progress toward reopening the government has eased investor concerns and boosted appetite for risk assets across various markets.
Supporting the move, ETF flows turned strongly positive, with spot Bitcoin funds attracting USD 524 million in inflows on Tuesday, the largest in several weeks. The pickup in institutional demand suggests growing confidence that macro uncertainty may be stabilizing.
Still, near-term upside may remain capped until the shutdown is formally resolved. Any delay or renewed political friction could limit Bitcoin’s rally and redirect flows toward safe-haven assets such as gold.
New data releases could also affect sentiment as investors could react to the expected flow of new figures as the US government reopens. Stronger expectations of interest rate cuts could support crypto assets while the market could see increased volatility.
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