- Bullish turn for crypto market lies ahead.
- Lark Davis says two factors could trigger a bullish recovery.
- This is the US government shutdown ending, and the $2,000 stimulus check for Trump.
Several analysts are turning from being tentatively bullish to slightly more bullish despite the price of BTC and ETH falling to lower price targets. This is because many analysts see the bigger picture, how assets are still holding higher prices on a wider chart and how many have maintained bullish support levels. The reputed crypto trader and analyst Lark Davis says a bullish turn for crypto market lies ahead as US government shutdown nears its end.
Bullish Turn for Crypto Market Lies Ahead
The crypto market has been experiencing a prolonged downtrend this Q4, despite analysts being really bullish at the end of Q3. Crypto price charts reflected the same bullish intentions until the $20 billion liquidation event in October. This, paired with the fact that the federal government of the United States has been shut down since October 1, 2025, after Congress failed to pass spending legislation for the fiscal year, led to a continued bearish sentiment.
In detail, roughly 900,000 federal employees have been furloughed, and millions more are working without pay. Services, including parts of air travel, courts, and food assistance programs, are still disrupted, and the United States Senate passed a funding package 60-40 that would reopen the government and extend funding through January 30, sending it to the United States House of Representatives.
Presently, the country is waiting on a House vote, which is expected shortly. Experts believe this vote will finally end the government shutdown, marking the longest government shutdown in US history. The end of this shutdown could bode very well for the crypto and financial markets, bringing in liquidity, especially for high-risk assets. Many also believe the price of gold has topped, kicking off a capital rotation into the crypto market.
US Government Shutdown Nears Its End
The US and its decisions are no doubt a huge catalyst to how financial markets react, and while its actions over the last few weeks have been bearish, analysts expect a bullish turn to arrive soon. According to Lark Davis, the US government will open soon, and this, paired with the fact that Trump announced a $2,000 stimulus check for every US citizen, could trigger a massive comeback for the crypto market.
As we can see from the post above, Lark Davis expects the US government shutdown to come to an end soon. He says that this was the longest in history and talks about a deal on the table. Once the House votes and the government reopens, nearly $1 trillion locked in the TGA can start flowing back into markets. With Trump also pushing for $2,000 ‘dividend’ payments to every American, once the stimmy money hits the market, he expects a different bullish story to play out.