Bitcoin Surges Past $106K After Senate Moves to End Historic Government Shutdown

Bitcoin climbed above $106,000 after the U.S. Senate voted to advance a funding measure aimed at reopening the government.

This move marked a key step toward ending the 40-day shutdown, the longest in U.S. history.

The amended bill will now go to the House of Representatives and then to the President for final approval, a process expected to take several days.

QCP Group noted that this rally came despite continued selling by early Bitcoin holders and sustained spot ETF outflows. The firm described the rebound as a “notable show of resilience” in a market still dealing with long-term supply pressures.

Options Data Highlights Uncertain Outlook

Market data from QCP Group indicated a mixed outlook in Bitcoin’s options market. Specifically, some investors were purchasing complex bullish positions known as “Call Flys” with strike prices at $112,000, $120,000, and $150,000 for December 26, 2025, while simultaneously selling “Call Spreads” with strike prices at $135,000 and $140,000 for the same date.

These contrasting strategies suggest investors remain divided over whether Bitcoin can revisit its all-time highs before the end of the year. Meanwhile, risk reversals also became less skewed toward puts, signaling that concern over another sharp sell-off had eased.

Legacy Supply Still Casting a Shadow

QCP Group compared the ongoing selling from older Bitcoin wallets to historic liquidation events such as the Silk Road and Mt. Gox distributions.

Although these sell-offs create short-term pressure, the firm said markets are absorbing supply shocks more effectively than in previous cycles, thanks to deeper liquidity and broader participation. It added that OG distributions are unlikely to disrupt Bitcoin’s structural uptrend.

Digital Asset Treasuries Find Breathing Space

Digital Asset Treasuries, representing major institutional and corporate Bitcoin holders, have seen limited activity in recent weeks. However, Bitcoin’s firm rebound from the $100,000 level has provided these entities with room to rebuild positions.

QCP Group believes that, should ETF inflows stabilize and macroeconomic conditions remain supportive, demand from large holders may resume. In turn, this resumption of demand could provide a basis for a sustained recovery.

Outlook: Range-Bound Trade Likely

Despite recent gains, analysts at QCP Group expect Bitcoin to trade within a defined range over the medium term. The firm sees potential resistance near $118,000, where selling from long-term holders could re-emerge.

Until legacy supply pressures ease, QCP Group expects Bitcoin to remain range-bound but structurally stable, supported by improving sentiment and stronger institutional participation.