Cryptocurrencies like Bitcoin and conventional safe-haven assets like gold typically do well during a government shutdown. In the past, defensive equities have proven more resilient, especially those in the consumer staples and utilities industries. The effect on stocks is usually temporary, though, as the overall stock market has frequently held steady and even made profits during previous shutdowns.
Cryptocurrency
Bitcoin (BTC): As investors turned to alternate assets as a hedge against U.S. political unrest and the possibility of dollar depreciation, Bitcoin's price reached new all-time highs during the current October 2025 goverment shutdown.
Other Cyptocurrencies: The current October 2025 shutdown also helped other cryptocurrencies, such Ethereum (ETH), Solana (SOL), and XRP (XRP), which saw price increases.
Crypto Stock Plays: Stocks such as Coinbase (COIN) and Strategy (MSTR) do well when Bitcoin rises and there is an increase in cryptocurrency transactions.
Stocks
Utility Stocks: During a shutdown, American Electric Power (AEP) and the Vanguard Utilities ETF (VPU) are frequently mentioned as reliable investments during a government shutdown.
Gold Stocks and ETFs: A traditional safe-haven asset is gold. As investors look for alternatives to the US dollar during the October 2025 goverment shutdown, gold already has seen a strong rally. In this setting, gold ETFs like SPDR Gold Trust ETF (GLD) and gold stocks like SSR Mining (SSRM) can do very well.
Consumer Staples: Businesses that sell necessities for the home, like Post Holdings (POST), are also viewed as defensive because customers will still purchase their goods even if there is a government shutdown going on.
Other Notes
The stock market as a whole has proven resilient during previous government shutdowns, with the S&P 500 staying mostly constant or even growing, despite the news headlines.
