“Ah, the winter has fallen harshly on our poor hodlers’ hearts! Just when we thought the Bitcoin king had finally traded in his superhero cape for his shiny armor, he started to get weak, pale, and his wallet was in a pitiful state. Indeed, the queen of cryptocurrencies, also known as BTC, fell below $88,000, while constant friend, Ethereum, did not fare much better, falling below […]”, — write: businessua.com.ua
Ah, the winter has fallen harshly on our poor hodlers’ hearts! Just when we thought the Bitcoin king had finally traded in his superhero cape for his shiny armor, he started to get weak, pale, and his wallet was in a pitiful state. Indeed, the queen of cryptocurrencies, also known as BTC, fell below $88,000, while constant friend, Ethereum, did not fare much better, falling below $2,900. The reason for this drop does not lie in the blockchain itself. It came from the other side of the Atlantic, where Uncle Sam, in the midst of an existential crisis, threatening to strike. Get ready, because when Washington coughs, the crypto world catches the flu.
Key points of this article:
- The price of Bitcoin fell below $88,000 and the price of Ethereum fell below $2,900 due to the worrisome impact of a possible shutdown of the US government.
- Bitcoin ETFs experienced their worst week since February 2025 with significant net outflows despite cautious but focused institutional demand.
Washington no longer answers! We thought dramas were only for Netflix series, but American politics offers us a gripping thriller, the script of which could well be called: “Government Shutdown, Revenge Returns.”
For those who missed the previous episodes, the government shuts down when the US Congress and the President cannot reach an agreement on the budget. Result? Parts of the government are shutting down, hundreds of thousands of civil servants are on vacation, and the world economy is holding its breath. According to Polymarket forecasts, the probability of such a scenario has increased to 78% at the time of writing.
So why the potential new closure? This comes after major disagreements in Congress over funding for the Department of Homeland Security (DHS), which oversees ICE, following the Jan. 24 fatal shooting of Alex Pretty by federal agents in Minneapolis. Senate Democrats such as Chuck Schumer have announced they will block funding, making it more likely that some federal agencies will be shut down if no deal is reached by midnight Friday.
This is reminiscent of the previous shutdown in 2025, which lasted 43 days and ended last November.
It is this ” macro risk » affects everyone. The first to suffer are the so-called “risky” assets, including our favorite cryptocurrencies.
Bitcoin Falls Below $88,000 – Source
ETFs are emptied They were awaited like the Messiah, these famous Bitcoin ETFs, hoped to open the floodgates of institutional investment and soar the price of BTC. It seems that the honeymoon is already over. SoSoValue’s latest statistics are clear: Bitcoin ETFs recorded their worst week since February 2025, with net outflows of approximately $1.33 billion.
So what awaits us in this financial saga worthy of a Balzac novel? The week promises to be full of surprises and surprises. All eyes will be on the Federal Reserve and its decision on interest rates, not to mention data on the producer price index (PPI).
For Bitcoin, the main question is: will it hold above $87,000? Is this “correction” just a prelude to another descent into hell, a plunge into the financial abyss? Only time will tell. In the meantime, keep calm and remember that even in the midst of a storm, hope springs eternal (as does HODLing!).
Please wait…