Month-End Flows and Shutdown Put Drag on Coins, But Those Headwinds Should Fade, MSTR Tries Again for SPX Inclusion

Discussed in today’s video:

• Broad Risk-Off Day: Crypto and equities both sold off, with digital assets showing an outsized reaction. However, the VIX, high-yield credit, and bond markets painted a more measured picture.
• Liquidity Strains from Shutdown: The ongoing government shutdown may be putting additional near-term pressure on liquidity conditions, reflected in a widening SOFR–RRP spread and increased use of the Fed’s standing repo facility as Treasury payments remain frozen.
• Intra-month Seasonality Effects: Weakness tied to systematic flows and profit-taking should fade as November begins.
• Possible MSTR Catalyst?: Strategy remains S&P 500 eligible for a second consecutive quarter. Potential inclusion could drive significant passive inflows and reignite speculative momentum across the digital asset market.

Tickers in this video: BTC -4.52% MSTR -4.03%