**Bitcoin Hits New All-Time High Amid US Shutdown and Investor Shift to Safe-Haven Assets**

Bitcoin has reached a new all-time high, climbing as high as $125,689 over the weekend. This surge comes as investors look for safer places to put their money during the ongoing US government shutdown and growing concerns about the weakening US dollar.

The rise in Bitcoin prices is being driven by several key factors. One major reason is the increasing belief among investors that traditional financial assets like stocks and bonds are at risk due to political instability and economic uncertainty. As a result, people are turning to alternative assets like Bitcoin, gold, and even collectibles to protect their wealth. This trend is part of what’s being called the “debasement trade”—a shift toward assets that can hold value as inflation and currency concerns grow.

Adding fuel to the rally is the historical trend of Bitcoin performing well in October. The month has earned the nickname “Uptober” among crypto traders because Bitcoin has posted gains in nine out of the last ten Octobers. This seasonal strength is encouraging more buying activity.

Investor interest has also been boosted by renewed inflows into Bitcoin exchange-traded funds (ETFs), which make it easier for traditional investors to gain exposure to Bitcoin without directly owning it. Meanwhile, the US stock market has also been on a strong run, thanks to excitement around new artificial intelligence deals, despite concerns about a prolonged government shutdown.

Gold prices have been climbing too, supported by central banks buying more of it and expectations that US interest rates might start falling. At the same time, the US dollar and government bond yields have been slipping, adding further pressure on investors to diversify into other assets like cryptocurrencies.

Bitcoin’s rise is also tied to a more crypto-friendly political environment in Washington. Pro-crypto legislation and support from some lawmakers have helped improve market sentiment. Over the past year, this supportive stance has encouraged more public companies, such as Michael Saylor’s MicroStrategy, to buy large amounts of Bitcoin as a long-term store of value. This strategy has spread to other digital assets like Ethereum, contributing to a broader surge in crypto markets.

Bitcoin last hit a record high of $124,514 on August 14 and is now up more than 30% since the start of the year. Many analysts believe that Bitcoin could continue rising if current conditions persist.

According to experts, this government shutdown is different from the one back in 2018–2019. Back then, Bitcoin wasn’t closely tied to traditional market movements. But today, it’s viewed more like a safe-haven asset—similar to gold—which means more investors might turn to it during uncertain times.

As traditional finance continues to show signs of stress, and with inflation fears on the rise, Bitcoin’s role as digital gold is gaining traction once again.