Bitcoin is up over 40% since the March banking crisis began

Bitcoin (BTC) has shown remarkable resilience amidst the recent banking crisis, as the cryptocurrency’s value has continued to rise despite the economic turmoil. Since the onset of the crisis on March 10, Bitcoin has surged over 40%, with investors flocking to the digital asset as a safe-haven store of value.

In the midst of the crisis, the United States was seeing the development of the greatest bank collapse since the global financial crisis, as a key lender to the technology sector, Silicon Valley Bank, faced a bank run. When authorities stepped in to take control, customers were frantically withdrawing their money from the California-based lender.

Around the time of the bank collapse, BTC was trading at $19,669. Despite the recent news of banking contagion with two more banks, Bitcoin is currently trading at $28,249, up 3.46% in the last 24 hours and 26.32% across the week. From the beginning of the banking crisis, the price of Bitcoin has increased by more than 43% since it was at its lowest point on March 10.

Bitcoin 1-month price chart. Source: CoinMarketCap

The rapid price rise of Bitcoin has been attributed to several factors, including a growing distrust of traditional financial institutions, increasing adoption of blockchain technology, and the proliferation of decentralized finance (DeFi) platforms, and has seen the digital asset make the biggest weekly gain in almost four years since when it gained 26.83% in a week in April 2019.

Bitcoin technical analysis

The sentiment on the 1-day gauges at the finance and crypto tracking website TradingView is generally bullish and suggests ‘buy’ at 15, as summarized from the oscillators indicating ‘neutral’ at 8 and moving averages in the ‘strong buy’ range at 13.

Bitcoin 1-day technical analysis chart. Source: TradingView

The tweet from Michael van de Poppe in his cautiously optimistic outlook for BTC in the near term while also acknowledging the potential for further price volatility. Poppe stated on March 20: 

“Bitcoin didn’t hold above $27,700, which is now crucial if we’d like to see $30K this week. Rejecting there, and we’ll be seeing a deeper correction to $25K, most likely.”

Bitcoin level to hold above. Source: Michael van de Poppe

Meanwhile, the current upturn in the cryptocurrency market, driven by the flagship decentralized finance (DeFi) asset, has given wings to Bitcoin mining company equities, with the price of these stocks posting large increases in terms of weekly performance. 

Indeed, most Bitcoin mining businesses have seen their share prices rise as a consequence of the BTC price surge.

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *

Recent Comments

No comments to show.
New Bookmakers
Playfina.com

The newest member of DAMA N.V. family offers more than 6000 games and accepts a wide range of cryptocurrencies, which are arguably the most widely used form of payment for gamblers right now.

Cryptoplay.io

In the year 2021, Cryptoplay Casino went live for the first time. To bitcoin enthusiasts, the online gaming site offers an amazing game library, exclusive bonuses, and promotions.

CryptoGames

Since its inception in 2014, this crypto casino has amassed a sizable following and an even stronger reputation. This all-crypto casino has 8 Provably Fair games, a faucet, and the ability to utilize one of ten cryptocurrencies.

PlayAmo

In general, if you're looking for information on the PlayAmo casino's features and idiosyncrasies, you'll find it here.

Oshi

Oshi Casino is a bitcoin casino with a simple instant-play interface that accepts euro deposits as well as other cryptocurrencies like Ethereum.