The cryptocurrency market has been on a wild ride in recent weeks. After Bitcoin (BTC) rallied to $26,500 and then experienced a sharp rejection, the digital asset has continued its upward trend with the highest daily close since nine months ago at $24,750. This could be attributed to various factors such as extraordinary funding from both the Federal Reserve and United States Treasury amounting up to $25 billion which reduced banks’ systemic risks.
One of these banks was Silicon Valley Bank (SVB), who were recently shut down by California’s Department of Financial Protection and Innovation on March 10th due their total assets surpassing over 200 billion dollars placing them among top 20 financial institutions in US. Even more so, this move triggered an interesting chain reaction which saw Circle’s USD Coin stablecoin reserve deposit 3.3 billion dollars into SVB before it was closed down – leading many investors speculate that there may have been some kind of bank run caused by this event alone!
While bears may appear victorious for now following BTC’s rejection rally after reaching 26K mark – bulls are still well positioned to benefit from options expiring on 17th March with potential profits up-to 440 million dollars if all goes according plan! It will certainly be interesting how things unfold for cryptocurrencies going forward but one thing is certain – crypto markets remain highly volatile yet very profitable if you can time your trades correctly or simply hold onto your investments long enough until they appreciate significantly!
