U.S. Government Enters Partial Shutdown After House Misses Funding Vote
The U.S. government has entered a partial shutdown after the House failed to vote on a Senate-approved spending bill before the funding deadline.
The Office of Management and Budget confirmed it had begun preparations for a funding lapse, as the House is not expected to reconvene until February 2, 2026. Until lawmakers act, the shutdown is likely to last at least several days.
Agencies Impacted by the Partial Shutdown
Due to the funding lapse, non-essential employees at departments including Homeland Security, Labor, Education, State, Justice, and Transportation face suspension or unpaid work.
Essential services such as national security, air traffic control, and emergency operations continue to function.
Fiscal conservatives also raised objections. Senators Rand Paul and Mike Lee opposed the bill, citing concerns over spending levels and earmarks. Meanwhile, Markwayne Mullin supported the measure, calling it a win backed by Donald Trump.
What the Shutdown Means for Markets and Crypto
Government shutdowns often raise concerns in the traditional and crypto markets. During the last full U.S. government shutdown, which lasted 43 days, Bitcoin dropped by 10% to 12%. Fast forward to the current partial shutdown, Bitcoin is trading near $83,789, but has so far moved less than 2% since the shutdown began.
Meanwhile, if the shutdown stretches longer, past data suggests Bitcoin could see increased volatility in the 5–10% range, especially if talks stall.
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FAQs
The House failed to vote on a Senate-approved spending bill before the deadline, leaving several federal departments without funding.
The shutdown may last several days or longer, as lawmakers are not expected to reconvene until February 2, 2026.
Shutdowns can increase market uncertainty, often leading to higher Bitcoin volatility, especially if political negotiations drag on.
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