Amid SVB Chaos, Bitcoin (BTC) Regains $21,000
Bitcoin’s price surged to an intraday high of $21,605 on Bitstamp exchange as reports surfaced that US officials are preparing to protect all deposits at the collapsed Silicon Valley Bank, causing panic in the industry. Fingers were initially pointed at centralized banking, though this sentiment shifted when major cryptocurrency firm Circle Internet Financial revealed it had $3.3bn trapped in the bank. This led to a decline in the USD Coin, a stablecoin which dropped to 87 cents. Reports suggest US regulators are considering the possibility of protecting all uninsured deposits at the bank to prevent wider contagion throughout the financial system. Treasury Secretary Janet Yellen stated there would be no government bailout for the bank, but depositors would not be left alone to face the consequences. The impact on bitcoin’s price on Monday remains to be seen as the US stock market anticipates a tumultuous day due to the SVB drama.
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