BTC Breaks $126K While Shutdown Worries Keep Altcoins Like XRP, ETH, ADA on the Move

Bitcoin (BTC) surged to a fresh record of $126,223 on Monday, extending its weekly gains to 15% amid a perfect storm of macro factors: the ongoing U.S. government shutdown, a softening dollar, and robust spot ETF inflows. At the time of writing, BTC trades near $124,000, driving broad gains across the crypto market.

Exchange Supply Hits Six-Year Low
Exchange-held BTC balances have dropped to 2.83 million—the lowest level in six years—with 170,000 BTC withdrawn in the past month. This off-exchange accumulation suggests coins are moving into long-term storage, tightening supply and reinforcing upward pressure on prices.

Global Milestones and Regional Impacts
BTC has set new records in euros (EUR 106,000) and Swiss francs (CHF 99,600). In Japan, expectations of Abenomics-style easing under the new prime minister are providing additional bullish momentum, highlighting regional factors supporting global BTC demand.

Altcoins Join the Rally
Ethereum (ETH) climbed 4% to $4,700, with traders eyeing $4,800–$5,000. Binance Coin (BNB) rose over 20% to $1,240, Dogecoin (DOGE) gained 6% to $0.26, XRP approached $3, and Solana (SOL) added more than 12% over the past week. Total crypto market capitalization reached $4.27 trillion before easing to $4.24 trillion, with the sentiment index at 71—greed—suggesting bullish momentum remains strong without reaching extreme levels.

ETF Inflows Drive Institutional Demand
Weekly U.S.-listed spot ETF inflows totaled $3.2 billion, the second-largest on record, pushing cumulative allocations since January beyond $60 billion. “Bitcoin’s climb above $124,000 underscores deepening institutional conviction and a maturing market,” said Ryan Lee, chief analyst at Bitget. Long-term holders, however, have sold intermittently since July, providing potential supply if demand wanes.

Political Uncertainty Spurs Safe-Haven Flows
The government shutdown has stalled key economic releases, increasing demand for hard assets like BTC and gold. A softer dollar and expectations of a cautious Federal Reserve further support the rally.

Key Level to Watch
The $125,000 mark is now a critical support zone, providing a psychological anchor for bulls and a potential springboard for further gains.