The US Senate has passed a new bill, with the House of Representatives expected to hold the final vote in early February. However, there is a risk of a partial government shutdown before February 1, which could increase policy uncertainty. This uncertainty may drive investors toward safer assets, including digital cryptocurrencies like Bitcoin. According to Nano Labs CEO Jack Kang, historically, when government financial operations are halted, investors turn to cryptocurrencies as a decentralized and secure alternative due to heightened risks in traditional financial systems. This period often sees significant volatility in the crypto market as investors seek to stabilize their financial positions. Political tensions over the US government’s budget and the potential shutdown could impact not only the national economy but also global financial markets, increasing market instability and potentially altering investment trends. Currently, market focus remains on the direction of upcoming fiscal decisions and political developments. Cryptocurrencies gain importance during such uncertain times because they operate on blockchain technology and are free from government intervention, making them a safe haven for investors amid global market fluctuations.
Source: binance
