Global crypto markets are staging a notable recovery this week, with traders regaining confidence after fresh political and macroeconomic developments helped lift sentiment across risk assets.
- Crypto market cap rose to $3.57T, up 4% in 24h.
- Bitcoin recovered above $105K as liquidations eased.
- Altcoins showed renewed strength after weeks of weakness.
- Analyst van de Poppe expects a new altcoin cycle to begin.
- Optimism grew as the U.S. Senate moved to end the shutdown.
The total cryptocurrency market capitalization rose by 4.03% in the past 24 hours, reaching $3.57 trillion, its highest level in nearly a month.
This renewed optimism follows encouraging progress in Washington, where U.S. lawmakers reached a preliminary agreement to end the record-breaking government shutdown that has stretched over 40 days. The Senate approved a procedural deal over the weekend, marking the first real step toward reopening federal agencies and paying more than 1.4 million affected workers.
The measure, which still requires approval in the House of Representatives, would extend government funding until January 30 while ensuring back pay for federal employees and continued support for critical programs like food assistance. Though not a permanent solution, the development has been welcomed by investors who had grown increasingly concerned about the prolonged political standoff and its economic repercussions.
Markets reacted positively to the breakthrough, with Wall Street futures, gold, and major cryptocurrencies all rising in tandem. Analysts say the sense of relief from a potential resolution is helping stabilize investor sentiment after weeks of uncertainty.
Bitcoin Regains $105K as Selling Pressure Eases
Bitcoin (BTC) climbed back above $105,900, gaining nearly 4% in the past 24 hours after briefly falling below the $100,000 mark last week. The recovery follows a period of intense liquidations that wiped out overleveraged positions during the recent downturn.
Data from Coinglass shows $345 million worth of crypto positions were liquidated over the past 24 hours, including $117 million in Bitcoin and $91.9 million in Ethereum. Interestingly, short traders bore the brunt of the losses, accounting for $260 million of total liquidations.
On the technical front, the daily MACD is showing early signs of a potential bullish crossover, while the RSI has rebounded from oversold levels, sitting near 45. These indicators suggest that downward momentum may be fading, and a short-term reversal could be underway.
Van de Poppe: “We’re Back in the Q4 2019 Stage”
Crypto analyst Michaël van de Poppe believes the current market phase mirrors late 2019 to early 2020, when altcoins began building momentum after an extended period of skepticism. He argues that Bitcoin dominance is entering a new declining phase, which historically signals the start of an altcoin-led market expansion.
“The market looks exactly like the stage when no one believed in altcoins,” van de Poppe wrote on X (formerly Twitter). “Bitcoin dominance has just seen its first drop, and I expect the second one to come in this quarter.”
Where are we in the cycle?
We’re at the stage of Q4 2019, Q1 2020.
The period where nobody believed in #Altcoins in the previous cycle.
The #Bitcoin dominance has just seen it’s first drop, I expect the second one to come in during this quarter. pic.twitter.com/uyWXkjkrR8
— Michaël van de Poppe (@CryptoMichNL) November 9, 2025
He compared today’s setup to the pre-bull run conditions of the previous cycle, suggesting that the current disbelief among traders may precede the next broad uptrend across altcoins.
MACD Bullish Divergence Hints at the Start of a New Cycle
Van de Poppe also highlighted the Altcoins/BTC MACD chart, which he said is beginning to “curl upward” after years of flat performance. The analyst noted a bullish divergence forming on the indicator — the first of its kind in four years — which could signal an upcoming reversal in the altcoin-to-Bitcoin ratio.
The MACD on the #Altcoins / $BTC chart starts to curl upwards and I think we’ll see the first green bar in four years coming up.
A strong bullish divergence on the MACD too.
What does that say?
The bull market hasn’t even started. pic.twitter.com/WBKM146tRZ
— Michaël van de Poppe (@CryptoMichNL) November 9, 2025
He emphasized that such divergences often mark key turning points in multi-year market cycles. “The first green bar is forming, and it says one thing — the bull market hasn’t even started,” he explained.
Altcoins Lead the Charge as Momentum Builds
While Bitcoin dominated headlines, several major altcoins outperformed the market in the latest session.
- Ethereum (ETH) jumped 5.25% to $3,594, supported by growing optimism around Layer-2 scaling and renewed developer activity.
- Cardano (ADA) climbed 4.52% to $0.585, continuing its slow but steady rebound following a difficult October.
- Solana (SOL) rose 4.41% to $166.41, despite a weekly decline of 5.15%, with traders eyeing further ecosystem growth following its strong DeFi performance in Q3.
- XRP stood out with an impressive 8.43% daily surge, trading around $2.47, as whale transactions and liquidity expansion hinted at renewed institutional interest.
- World Liberty Financial (WLFI) was one of the top mid-cap gainers, soaring 25.82% to $0.1523, with $554 million in 24-hour trading volume. The project’s rising market cap, now at $3.74 billion, has drawn significant attention from speculative traders seeking new opportunities outside the top ten.
This broader move indicates that capital may be rotating from Bitcoin into alternative assets — a classic hallmark of early altcoin season phases.
Shutdown Progress Fuels Broader Economic Optimism
The U.S. shutdown breakthrough is also shaping market dynamics beyond crypto. Economists note that the 40-day impasse had already slowed portions of the economy, particularly air travel, food assistance, and consumer spending among unpaid government employees.
With the Senate now moving forward on a resolution, investors are betting that the political gridlock will ease in time to prevent further damage. Senate Majority Leader John Thune described the deal as “a chance to get back to work” and said both parties were eager to address healthcare and social welfare concerns in a bipartisan way.
Although not all lawmakers are satisfied — with some Democrats calling the compromise “insufficient” — the progress has been enough to rekindle optimism across equity and crypto markets alike.
Market Outlook
If the government funding deal clears the House this week, analysts expect a temporary boost to liquidity and investor sentiment — conditions that could further strengthen crypto’s recovery. Combined with a technical setup pointing to renewed momentum for altcoins, the next few weeks could determine whether this marks the beginning of a larger uptrend.
Van de Poppe’s outlook aligns with the broader view that Bitcoin’s dominance may have peaked, creating space for altcoins to outperform as capital rotates across the market. With total crypto capitalization already above $3.5 trillion, the stage may be set for the next expansion phase of the ongoing bull cycle.
As van de Poppe summed up: “We’re not near the end. The real move hasn’t even started yet.”
The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.
Reporter at Coindoo
Source: https://coindoo.com/bitcoin-reclaims-106000-and-altcoins-rally-as-u-s-shutdown-nears-resolution/