- Exchange boss says trading volumes could rise before year’s end
- Shutdown deal and bipartisan bill ‘could be a turning point’
- Bitcoin in a ‘post-cycle’ phase, says expert
Crypto prices are set for a boost in the days ahead after lawmakers agreed to end the US government shutdown.
That’s according to Gracie Chen, the CEO of the crypto exchange Bitget, Russia’s RIAMO reported. Chen added that the news has helped to subside macroeconomic uncertainty.
“Institutional confidence will strengthen, leading to a significant influx of liquidity from traditional financial participants,” Chen said. “This could push the market toward a bullish trend by the end of the year, contributing to increased trading volumes, price stability, and [more trading] activity.”
Experts say the shutdown could put an end to sideways growth in the crypto markets. And talk of economic stability could see some cagier traders return to bullish ways.
Shutdown ‘comes at a good time for the markets’
Chen said that the shutdown’s end could be well-timed for crypto, coinciding with the launch of a bipartisan bill that proposes handing crypto oversight to the Commodity Futures Trading Commission.
Coupled, these two events could be a turning point for global financial markets, Chen said.
The Bitget chief said that the two developments were signs of “the emergence of a mature regulatory environment.” Such an environment, she added, will “support innovation without stifling growth, and foster greater predictability and trust in the cryptoasset market.”
Alex Davis, CEO and founder of the non-custodial digital banking provider Mavryk, told DL News that a period of relative calm was likely in store.
This, Davis explained, could even see Bitcoin break out of its four-year cycle, a theory of price volatility that revolves around Bitcoin halving events.
“Following the market’s recent parabolic advance to its October peak, we believe the cycle has decisively turned,” Davis said. “Bitcoin has entered a post-cycle phase that historically produces extended volatility rather than continued expansion.”
Risk-averse investors to make market return
RIAMO also quoted Alexander Peresichan, CEO of the blockchain software developer Technobit, as stating that the end of the political crisis would “have a positive impact on cryptocurrency prices.”
He noted that the shutdown had “triggered uncertainty in the crypto market and prompted investors to exit risky assets.”
“Liquidity in the crypto market has decreased. And the prices of leading coins, such as Bitcoin, have temporarily declined in the face of general caution among investors,” Peresichan explained.
However, some say that sideways market movement is more likely. Earlier on Thursday, Robin Singh, CEO of accounting platform Koinly, told DL News that Bitcoin could “consolidate through November, trade sideways, and frustrating traders expecting a year-end rally.”
US President Donald Trump signed a spending bill on November 13, putting an end to the longest government shutdown in the country’s history.
The shutdown began on October 1 and lasted 43 days.
Tim Alper is a news correspondent at DL News. Got a tip? Email at tdalper@dlnews.com.
