Bitcoin (BTC) and altcoins see gains as the US Federal Reserve provided emergency funding of $300 billion to struggling banks. The move came after two major U.S banks, Silicon Valley Bank and Signature Bank, failed and required $143 billion in emergency funding, causing widespread alarm in financial markets. While the Fed did not identify the banks that received the remaining part of the $143 billion, the situation has raised concerns about the stability of the U.S. banking industry. In response, crypto investors turned to bitcoin and altcoins, which saw gains in value as investors sought alternative stores of value amid the uncertainty in traditional financial markets.
“Nearly half the money — $143 billion — went to holding companies for two major banks that failed over the past week, Silicon Valley Bank and Signature Bank, triggering widespread alarm in financial markets. The Fed did not identify the banks that received the other half of the funding or say how many of them did so.”Christopher Rugaber reporting for The Associated Press. Published on PBS News Hour,
Bitcoin price hit over $27,000, up from about $19,600 in 7 days (since 11 March 2023)
After a week of struggles to maintain its value above its support level of $20,000, bitcoin experienced a sudden surge in value, skyrocketing by approximately 8% in a single day. From the bitcoin price of $20,594 on Sunday 12 March 2023, bitcoin price initially rose to about $21,973 by Monday 13 March 12:25am to hit $24,005 on the same day.
The next day Tuesday 14 March, bitcoin price reached $25,870 and struggled to maintain the $24,000–$26,000 range within Tuesday and Thursday, before it further climbed up to $27,770 on Friday 17 March. At the time of writing, bitcoin is trading at $27,410, according to Coinmarketcap data.
As seen on the BTCUSDT TradingView chart below, bitcoin has gained over $7,400 since March 11 2023.
As bitcoin continues to experience gains, analysts predict that if the bulls continue to dominate, they could take the price to the next resistance level around the $28k to $30k range. This highlights the potential for significant growth in the cryptocurrency market, but it’s essential to approach investment decisions with a level head and an informed perspective.
Altcoins, including ETH, ETC, BCH, BNB, MATIC, DOGE, DOT, AVAX, SOL, and Others significantly appreciated in price.
Altcoins such as Ethereum (ETH), Binance Coin (BNB), Polygon (MATIC), Dogecoin (DOGE), Polkadot (DOT), Avalanche (AVAX), Solana (SOL), and a number of other cryptoassets saw impressive gains—from up to 5% for some coins, 20% for a some others, and over 30% for a few coins, in the last 7 days.
BNB, DOT, MATIC, SOL, AVAX, UNISWAP, COSMOS, OKB, NEAR, VET, RCP, ALGO, ICP, BAT, AAVE, VET, and a few others gained up to 20%.
Ethereum classic (ETC), Filecoin (FIL), APTOS (APT), SANDBOX (SAND), Neo (NEO), Zilliqa (ZIL), Dash (DASH), The Graph (GRT) and a few others gained up to 30% in the last 7 days.
SingularityNET (AGIX) gained about 76%, Immutable (IMX) gained about 83%, and Fantom (FTM) gained about 54%. All within the last 7 days.
Caution: Investment approach to the ever-volatile crypto market
This sudden surge in value serves as a reminder of the volatile nature of the crypto market, which can be heavily influenced by external factors such as government actions and economic policies.
The crypto market continues to be a fascinating and dynamic space, with developments and news emerging every day that can significantly impact prices and market trends. As investors and traders continue to navigate this unpredictable market, it is essential to stay informed about the latest developments and trends.
The cryptocurrency market remains highly volatile, offering the potential for significant growth and returns as well as crashes and losses. Investors should exercise caution and employ appropriate risk-management strategies when investing in digital assets. Conducting thorough research and consulting with a financial advisor before making any investment decisions is essential to minimize risks and maximize potential returns.