Crypto News: Investors looked relieved as global markets showed some signs of recovery after back to back bank collapses. The crypto market registered a massive recovery over the past week after slumping under the crucial $1 trillion level. However, reports suggest that there is more pain left ahead as the easy cash era seems to be over now.
Bitcoin Surge Backed By Dipping Rates
The banking crisis led by the crash of crypto friendly Silicon Valley Bank (SVB) shock the market. SVB got crushed under the heavy losses on its bond portfolio due to an increase in rates. This depicts that further monetary tightening will eventually invite more pain for the market.
The digital asset market saw huge outflow and price crashing over the last year in the wake of jumping Fed rates. As per the report, nations like the United States, European nations, and Australia have collectively raised rates by around 3,300 basis points. However, the recent influx of cash left the crypto market green as it was backed by the signs of a dip in rates ahead.
Bitcoin (BTC), the world’s biggest crypto saw some unexpected gains at the time of erupting banking crisis. Bitcoin price has managed to surge by 23% over the past 30 days. BTC is trading at an average price of $28,549, at the press time.
The recent Bitcoin price surge came in as the investors were expecting that rate hikes peak in closing in, suggests the report. Read More Crypto News Here…
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