Bitcoin Soars Above $120K as US Government Shutdown Continues

Core Insights - Bitcoin reached a price of $120,000 for the first time since mid-August, driven by investor interest in exchange-traded funds amid expectations of Federal Reserve interest rate cuts [1][4] - The cryptocurrency has seen a significant increase of nearly 8% over the past week, with a 2% rise in the last 24 hours, indicating a shift towards safe-haven assets [2][3] - Investors are increasingly optimistic about Bitcoin's potential to reach new all-time highs, with an 81% likelihood of hitting $125,000 soon [6][7] Price Movements - Bitcoin's price touched $120,286, marking a 2% increase in 24 hours and nearly 8% over the past week [2] - Other cryptocurrencies, such as Ethereum and Solana, also experienced price increases of 3% [6] Investor Behavior - A total of $675.8 million was invested in spot Bitcoin ETFs, the highest level since September 12, indicating renewed investor interest [3] - The correlation between Bitcoin and traditional stocks has decreased, making it more attractive to investors seeking diversification [4] Market Trends - Historically, Bitcoin has performed well in October, with nine out of the last ten years showing strong performance during this month, a trend referred to as "Uptober" [5] - The current market conditions, including the potential for interest rate cuts, are favorable for Bitcoin's performance [4]