Bitcoin Spot ETFs See $522M Inflow, Crypto Rally Defies Shutdown Fears

Major cryptocurrencies posted gains despite the risk of a U.S. government shutdown.

  • Bitcoin spot ETFs recorded $521.95 million in net inflows, the largest since September 12.
  • Ethereum spot ETFs saw over $546 million in net inflows, the highest since August 14.
  • MicroStrategy acquired 196 more Bitcoins, increasing its holdings to over 640,000 coins.
  • Vanguard Group Inc. is considering allowing cryptocurrency ETF trading on its platform.

Bitcoin and other leading cryptocurrencies advanced in early Tuesday trading, building on positive momentum from significant inflows into spot exchange-traded funds (ETFs) on Monday. The activity took place as investors monitored the potential for a U.S. government shutdown.

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According to SoSoValue data, Bitcoin spot ETFs saw net inflows of $521.95 million on Monday, marking the biggest single-day addition since September 12. Ethereum spot ETFs experienced even larger inflows, with more than $546 million—the strongest figure since August 14. As of the time of reporting, Bitcoin was up 2.1% to $113,958, Ethereum gained 2.4% to $4,193, and XRP rose 0.9% to $2.89. Solana and BNB were also higher, up 1.2% and 1.7%, respectively.

MicroStrategy, led by Michael Saylor, announced in a securities filing it had purchased 196 Bitcoins for $22.1 million at an average price of $113,048 per coin. With the latest acquisition, the company now holds more than 640,000 Bitcoins—about 3% of all Bitcoins in circulation. Industry analysts note that other corporations have begun creating crypto treasuries, inspired by MicroStrategy‘s approach.

Despite gains in the crypto market, investors remained cautious as a U.S. government shutdown could occur if Congress does not reach a funding agreement by Wednesday. According to U.S. Vice President JD Vance, “I think we’re headed to a shutdown because the Democrats won’t do the right thing,” referring to ongoing disputes over healthcare subsidies in stopgap funding measures.

Financial experts warned of likely volatility in the coming days. Investor Ted Pillows stated on social media, “Expect volatility to stay high in the coming days. The odds of a government shutdown stand around 65%–75%, unless lawmakers manage a last-minute deal.” He advised keeping leverage modest and avoiding excessive exposure.

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There is also concern among investors that a government shutdown could delay the release of September jobs data. If employment figures are weaker than expected, it could raise the chances of more interest rate cuts by the Federal Reserve, which tends to support crypto and stock markets.

Separately, a Bloomberg News report indicated that Vanguard Group Inc. is reviewing its policy on cryptocurrency-focused ETFs and may soon allow their trading on its platform. This would signal a departure from the company’s previous restrictive stance on digital assets.

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