Bitcoin soared above $105,000 on Monday, rising to near $106,000 as optimism over the U.S. government’s shutdown resolution revived risk appetite across global markets.
Reports that the Senate had made a breakthrough to fund key departments and restart government operations sparked a wave of investor confidence after a 40-day standoff, the longest in U.S. history.
Shutdown breakthrough sparks crypto rescue rally
The U.S. Senate decision marks Bitcoin’s strongest rally in almost a week, with the total cryptocurrency market capitalization rising 4.8% in 24 hours to $3.58 trillion. Ethereum rose 6.9% to $3,618, while XRP, Solana, Dogecoin, and Cardano each rose over 4%, showing renewed bullish sentiment.
Analysts said the end of the shutdown could restore liquidity and encourage institutional inflows, especially after eight ETF outflows totaling more than $2 billion.
“Relief in the Washington market has led to relief on the charts,” said market analyst Abhay H. If momentum can sustain above $105,000, he expects a near-term upside target of $108,000 to $110,000.
BTC's price trends to the upside on the daily chart. Source: BTCUSD on Tradingview
Whales accumulate $32 billion with increased aid
On-chain data revealed that Bitcoin whales had amassed more than 300,000 BTC (equivalent to about $32 billion) in addresses holding between 10,000 and 100,000 BTC after the price briefly fell below $101,000. This massive build-up strengthened the $105,000 support zone and helped offset the overall market weakness.
The realized profit/loss ratio remains high at 9.1, suggesting that holders are still comfortably making profits despite the volatility. Analysts believe the buying spree shows “deep conviction” on the part of long-term investors.
“The whale has effectively turned $105,000 into a new line in the sand,” Glassnode researchers said, adding that structural demand remains strong even as ETF inflows decline.
Technical signals support this trend. Bitcoin continues to hold its 365-day moving average, an important historical support that held during the 2024 Yen Carry Crisis and 2025 Tariff Shock.
Bitcoin (BTC) traders focus on resistance zone between $111,000 and $113,000
Momentum indicators indicate that Bitcoin has entered neutral territory, but traders are now eyeing $111,000 and $113,000 as the next resistance levels. A clear break above this range could pave the way for a 138.2% Fibonacci extension target near $133,900.
Market sentiment was further fueled by speculation that MicroStrategy founder Michael Saylor was preparing to make another large Bitcoin purchase following a cryptic “most continuous” post.
Coupled with expectations that the Fed could cut interest rates by 2026, these catalysts are helping to strengthen Bitcoin’s recovery story heading into the end of the year. Bitcoin (BTC) is currently trading at $106,448, up 4.3% in 24 hours, indicating that the bulls may indeed be regaining control.
Cover image from ChatGPT, BTCUSD chart from Tradingview
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