Bitcoin Soars to $106K. Key Reason Why

Earlier this Monday, the price of Bitcoin, the leading cryptocurrency, surged above the $106,000 level, reaching an intraday peak of $106,437, according to CoinGecko data.

The price uptick has coincided with the US Senate voting to advance a deal that would end the longest-ever government shutdown, which has been going on for a total of 40 days. The crucial bill has managed to advance by a vote of 60-40.

The US government initially entered a shutdown on Oct. 1 after Congress did not manage to pass the necessary appropriations to continue funding the government. The Democrats wanted to extend some healthcare subsidies, but the Republicans were opposed to this as well as some other funding issues.

During the initial days of the shutdown, the price of BTC rallied to an all-time high of $126,080. However, the cryptocurrency’s bullish momentum then faltered as the shutdown continued to drag on.

ETF floodgates

According to analyst Nate Geraci, the end of the shutdown means that spot ETF floodgates are about to open.

The Securities and Exchange Commission is operating in a limited capacity during the ongoing shutdown, which is why it could not deal with a backlog of filings.

Some ETF filings did manage to get through with the help of “automatic effectiveness” provisions, but the floodgates are yet to truly open.