The continuous decline in cryptocurrency prices paused on Tuesday after the US House of Representatives narrowly approved a funding package, which will now be sent to the President for signature. This move is expected to end the government shutdown, reducing financial and economic instability. The recent sharp drop in cryptocurrency values was primarily caused by the US government’s fiscal impasse and global economic uncertainties, reflecting decreased investor confidence and liquidity issues in the crypto market. With the restoration of government funding, market stability is anticipated, providing some relief to investors. Cryptocurrencies like Bitcoin and Ethereum are considered significant components of global financial technology, with their prices influenced by worldwide economic conditions and government policies. The US government’s financial activities and political stability have a profound impact on this market. Although analysts foresee short-term stability following the end of the shutdown, potential global economic challenges and regulatory measures may cause further volatility in the future. Investors are advised to remain cautious and monitor market developments closely.
Source: coindesk
