Shutdown threat?!? What threat? They shut it down and are keeping it shut down ON PURPOSE! Can you still say that this is a democrat shutdown?
This is a republican shutdown due to several years of democratic fiscal mismanagement.
You can continue to push the idea that we are where we are today due to the actions of the republicans, but it simply isn't true. If the democrats worked in a bipartisan manner all those years they controlled everything they wouldn't be experiencing this blowback.
I don't know how it'll end. It would surprise me if the house didn't offer a clean debt limit raise bill for the senate to sign this week, and it would surprise me if the senate or Obama chose not to accept it.
So I don't see the debt limit becoming a problem. The republicans are likely the keep the shutdown going until the democrats back down from their non-negotiable stance, but they probably don't need to force the debt ceiling issue, and in fact due to sequester rules it may not be in their favor to do so.
If they do offer a clean debt ceiling bill, then they will be seen as taking one step toward the dance floor, and if the democrats again assert that they won't talk until the shutdown ends the democrats will be seen as non-reconciliatory.
But this is pure speculation, I haven't even read today's news on the subject. Obama was pretty clear in last weeks meeting, though, that Ryan had to go back and get the republicans to move, but Obama and the democrats were still not willing to discuss anything until the shutdown ends.
So, stalemate, still.