How the Crypto Market Could React on Monday After the U.S. Government Shutdown – Coinpedia Analysis
The U.S. government shutdown (starting late Friday) has already sent ripples through traditional markets, with stocks, bonds, and the dollar showing mixed reactions. Crypto isn't immune — here's what analysts expect for Monday (February 3, 2026) based on historical patterns and current sentiment.
Key points from the report:
Short-term volatility spike — Shutdowns often increase uncertainty → risk-off sentiment pushes BTC and alts lower initially (similar to 2018–2019 events where BTC dipped 5–15% in the first 1–2 days).
BTC as "digital gold" narrative — In prolonged uncertainty, some capital rotates to BTC as a hedge (seen in past shutdowns where BTC recovered faster than stocks after initial sell-off).
Leverage flush risk — High funding rates + long positions could trigger more liquidations if BTC tests $80k–$82k support.
Potential relief bounce — If shutdown is short-lived (as most are), markets could rebound mid-week once clarity returns.
Alt/meme coins — Likely to underperform BTC in risk-off mode — expect heavier drops for PEPE, DOGE, SHIB, etc., unless hype catalysts emerge.
Overall outlook: Bearish open on Monday (possible -3–8% dip for BTC), but not a structural crash. Watch $80k support — hold = bounce potential; break = deeper correction.
How do you see crypto reacting to the shutdown? Dip buy or wait for clarity? Drop your thoughts! 📉🇺🇸🚀
