Political crises and financial upheavals are intertwined, with dark currents flowing beneath the crypto world.



The U.S. federal government shutdown has surpassed 36 days, setting a new record. This political deadlock is exerting a comprehensive impact on the global financial system. Bitcoin has fallen approximately 14% from its all-time high of $125,000 within a week, while gold has counterattacked and broken through $4,370 per ounce.

As a seasoned professional immersed in the crypto market, I notice that this crisis harbors some unusual investment logic. The decline in dollar creditworthiness and the opening of regulatory gaps are creating rare entry points for crypto assets. Today, I want to discuss how to find your own hedging strategies during this special period.

**The Chain Reaction of the Shutdown Storm**

The two parties are deadlocked over budget, healthcare, and immigration issues, causing the fiscal negotiations to completely stall. As a result, over 800,000 federal employees are forced to take unpaid leave, and even financial regulatory agencies like the SEC and CFTC have entered a "semi-shutdown."

What does this mean for the crypto circle? In the short term, regulatory pressure has significantly decreased, law enforcement actions have slowed down, and new policies have been delayed. This "regulatory gap" is rare.

What’s more troublesome is that economic data cannot be released—key indicators like non-farm employment and CPI are stuck. The market has lost important signals to interpret economic trends, and the Federal Reserve has fallen into a vicious cycle of blind decision-making. Uncertainty has ultimately become the dominant force in the market.
BTC1,89%
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