Bitcoin Dips To $98k Despite U.S. Government Reopening—Is a Pullback Coming or a Lower Low Ahead?

Bitcoin continues its downtrend, currently trading at $98,308.21 despite the U.S. government officially reopening after a historic 43-day shutdown. The leading cryptocurrency declined 2.72% in the past 24 hours, and also down 0.67% over the last 7 days.

The monthly performance shows a 6.95% decline. Market capitalization stands at $2.05 trillion with trading volume reaching $72.42 billion, an 11.74% increase over 24 hours.

Despite the U.S. government ending its historic shutdown with this new funding package, Bitcoin continues to face downward pressure, highlighting that broader market dynamics may be outweighing political developments.

President Donald Trump signed the funding package late Wednesday, ending the longest government shutdown.

President Trump signs bill to OFFICIALLY reopen the government, ending the Democrat Shutdown.

Let's get our country WORKING again. 🇺🇸 pic.twitter.com/QJqX90k9sC

— The White House (@WhiteHouse) November 13, 2025

The agreement keeps the government running through January and funds key agencies through fiscal year 2026. It reverses mass federal layoffs and restores paychecks to government employees, resuming critical food and nutrition services.

With the U.S. government shutdown over, liquidity is set to increase as federal paychecks resume and stalled spending flows back into the economy, but Bitcoin’s reaction remains uncertain, while some investors may return to risk assets, others could take profits, leaving short-term price direction unclear.

Institutional Demand Weakens Across Multiple Fronts

Bitcoin faces pressure as futures market demand declined significantly. Daily futures open interest dropped to $63 billion from October’s peak of $95 billion.

Exchange-traded fund inflows slowed dramatically in recent weeks. Bitcoin ETFs shed over $1 billion in assets last week, reflecting weakening institutional investor appetite.

Bitcoin ETFs saw $1.22B in outflows last week — 3rd biggest ever 😮 Friday alone saw $558M exit — looks like Wall Street’s cooling off 🧊💼

— CryptoSangeet (@CryptoSangeet) November 10, 2025

Meanwhile, Digital Asset Treasury (DATs) companies reduced Bitcoin purchases compared to previous months. Their stock prices plunged, sinking net asset value multiples.

The cryptocurrency declined alongside broader stock market weakness. The S&P 500 and Nasdaq 100 retreated in recent days amid artificial intelligence industry concerns.

Bearish Sentiment Dominates Despite Positive News

Long-term Bitcoin holders accelerated distribution, according to Glassnode data. Supply declined rapidly with net position change falling sharply into negative territory as holders book profits defending the $100,000 level.

Analyst Sykodelic noted on X that markets may undergo a final correction dump before bottoming. The correction could finalize a death cross bottoming window before reversing, with approximately one week remaining.

Everyone is expecting markets to pump off of this.

What is actually more likely is for us to undergo the final dump of this correction…

Twisting the knife and bottoming the sentiment.

Finalising our death cross bottoming window and getting the reversal underway.

Either way,… https://t.co/bXX9Uu8xZG

— Sykodelic 🔪 (@Sykodelic_) November 13, 2025

Jonathan Hosman warned of a potential short-term dump. He cited Stochastic RSI crossing down and MACD showing deep oversold conditions, targeting $97,000-$98,000 with a possible double bottom forming.

Technical Analysis

The daily chart shows Bitcoin trading at $98,152 after falling from an intra-day high of $105,979, with price now positioned below key moving averages. The red EMA at $110,021 and blue EMA at $108,012 both sit above current price, indicating short-term bearish pressure.

Major support exists between $96,000-$100,000, representing a significant consolidation zone from earlier periods. This level faced multiple tests and remains critical for preventing deeper declines.

Price peaked around $128,000 in October before declining sharply from November highs near $125,000. Recent action shows a bounce from the $100,000 psychological level with attempted stabilization around $105,979.

Volume increased during the recent decline, with higher activity on down moves suggesting sustained selling pressure. Trading below both key EMAs maintains bearish bias in the short term.

Immediate resistance stands at $108,012, with key resistance at $110,021. Reclaiming these EMAs would signal potential reversal toward $120,000. Failure to recover maintains downside risk toward $96,000-$100,000 support, with worst-case scenarios targeting $92,000-$94,000.

Bitcoin remains in a correction phase after reaching new highs. The market tests $100,000 strength while trading below moving averages, suggesting bearish pressure persists near term.