Bitcoin and Ethereum continue their steady growth amid the risk of a US government shutdown. Just a couple of years ago, such an event would have triggered a sell-off of risky assets, but not anymore.

It's clear that demand has returned to the cryptocurrency market. Fresh data shows that in the past 90 days, net inflows to stablecoins have exceeded $46 billion—that's a 325% increase compared to last year. This indicates growing demand for assets pegged to the US dollar.

The surge in interest in stablecoins is not a coincidence, but a logical result of several interconnected factors. First, uncertainty in the global economy is prompting investors to seek stable assets, and stablecoins, due to their peg to the dollar, offer relative protection from cryptocurrency market volatility. Second, ongoing regulatory shifts in the crypto space towards liberalization are also encouraging capital inflows. Investors seeking liquidity view stablecoins as a reliable means of storing assets, enabling them to respond quickly to market fluctuations.

Recently, Eric Trump stated that he believes stablecoins will save the dollar. This statement sparked a wave of discussion among financial circles and crypto enthusiasts. On the one hand, stablecoins offer stability and ease of use, which makes them appealing to a wide audience.

At the same time, being pegged to the dollar can help maintain some stability in periods of economic turbulence. On the other hand, dependence on the dollar may negate some of the decentralization benefits typical of other cryptocurrencies. In any case, Eric Trump's statement reflects growing recognition of the potential of cryptocurrencies—including stablecoins—as tools for stabilizing and modernizing the financial system. Whether this faith is justified remains to be seen.

Trading recommendations

As for the technical picture for Bitcoin, buyers are now targeting a return to the $114,600 level, which opens a direct path to $116,000, and from there, it's just a step away from $117,400. The ultimate target is the high around $118,400; breaking through this would signal further strengthening of the bull market. In the case of a Bitcoin decline, buyers are expected at the $112,800 level. If BTC falls back below this area, it could quickly drop toward $111,200. The ultimate downside target would be the $109,900 zone.

As for Ethereum, a clear consolidation above $4,325 opens the way directly to $4,331. The ultimate target is the high around $4,441, and breaking above it would mean renewed bullish momentum and increased buyer interest. In case of an Ether pullback, buyers are expected at $4,132. If ETH drops back below this area, it could quickly fall toward $4,039, with the ultimate downside target being the $3,942 zone.

What's on the chart

• Red lines represent support and resistance levels, where price is expected to either pause or react sharply.
• The green line shows the 50-day moving average.
• The blue line is the 100-day moving average.
• The lime line is the 200-day moving average.

Price testing or crossing any of these moving averages often either halts movement or injects fresh momentum into the market.