The global crypto market began the week with cautious optimism following a quiet period of weekend consolidation.
Bitcoin (BTC) reclaimed key resistance near $106,000, while Ethereum (ETH) surged past $3,600, helping to renew bullish sentiment across digital asset markets.
Bitcoin rebounded overnight, climbing as much as 5% during the Asian trading session on Monday as traders targeted sell-side liquidity. The crypto asset is currently trading at $106,242 at the time of writing this report, after it had earlier plunged below $100,000 last week.
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The recent surge follows expectations that the U.S. government shutdown would soon come to an end, thereby improving the broader risk environment. It is understood that during the shutdown, the U.S. economy reportedly lost nearly $85 billion in productivity and spending, federal data releases were paused, and an estimated 1.6 million government employees went without pay.
Over the weekend, lawmakers took a critical step toward resolving the standoff. A minority of Democrats joined Republicans in a procedural vote to advance a funding compromise, enabling government operations to restart.
President Donald Trump also announced that most Americans would receive a $2,000 “dividend” from tariff revenue, helping spark a late-weekend improvement in market sentiment. With salaries expected to resume on Friday and key agencies including the Bureau of Labor Statistics set to return to publishing data, investors are hopeful that financial markets will gain clearer direction in the coming days.
Trading Volumes Rise
Trading volumes on major exchanges have begun to rise as investors position for the week ahead, supported by positive ETF flow signals and relatively stable macro conditions. Analyst Shanaka Anslem Perera suggested that the reopening of government operations could inject fresh liquidity into both traditional and crypto markets, potentially driving Bitcoin toward $112,000 and lifting the S&P 500 by roughly 2%. Growth in gold prices and money supply (M2) is also expected to reinforce this momentum.
Despite occasional ETF outflows, institutional interest in Bitcoin remains resilient. Earlier this month, global crypto ETFs recorded nearly $6 billion in net inflows. Meanwhile, Strategy, a publicly traded business intelligence firm, recently added 487 Bitcoin to its treasury last week at an average price of $102,557 per coin, totaling $49.9 million. The purchase continues the company’s long-standing strategy of accumulating Bitcoin through stock-funded acquisitions, reinforcing its position among the largest corporate Bitcoin holders.
Altcoins Market Records Gains
The altcoin market displayed mixed performance. Solana (SOL) rose roughly 6.6% to around $167, supported by increased DeFi activity and wallet growth. Avalanche (AVAX) and Toncoin (TON) posted moderate gains, while Cardano (ADA) and Polygon (MATIC) remained largely stable.
XRP and Hyperliquid rallied more than 7%, and BNB reclaimed levels above $1,000. However, market breadth remains narrow, indicating that capital flows are still concentrated in large-cap assets. The total crypto market capitalization climbed above $3.5 trillion, with Bitcoin dominance near 59%.
Overall market sentiment remains cautious, and the altcoin season index currently sits at 33, suggesting that Bitcoin continues to hold the majority influence over market direction.
Outlook
Although signs of recovery are emerging, traders are closely watching whether rising volumes will translate into a sustained upward trend across the market. Several analysts expect volatility to remain contained ahead of midweek macro data and potential ETF inflow updates.