• Bitcoin has surged beyond the $28,000 per unit mark, the highest it’s been since June of 2022.
• The banking sector is burning up as of late and this situation is responsible for bitcoin’s surge.
• UBS bought out Credit Suisse and this appears to have worked well for bitcoin as its value shot up by more than $4,000 over 24 hours.
Bitcoin Price Surpasses $28K Mark
The price of bitcoin has surged beyond the $28,000 per unit mark, the highest it’s been since June of 2022. This surge comes at a time when the banking sector is going through a difficult period.
Bank Crisis Leads to Bitcoin Surge
The banking sector is experiencing a crisis which has allowed bitcoin to rise in value. In 2019, BTC rose to its then all-time high of nearly $20K per unit, though by the end of 2018, the world’s number one digital currency by market cap had fallen into the mid-$3,000 range. In 2021 bitcoin experienced another fall with its value dropping down to mid-$16K range.
Credit Suisse Bought Out By UBS
Credit Suisse was on track to become another major financial institution that goes under but UBS bought them out thus adding a few more years onto their life. This appears to have worked well for bitcoin too as its value shot up by more than $4,000 over 24 hours after Credit Suisse was bought out.
Bitcoin Correlated With Liquidity Conditions and Real Rates
Ilan Solot – co-head of digital assets at Marex – commented: Bitcoin is correlated with liquidity conditions and real rates. Real rates have declined, liquidity conditions have expanded, and it looks as if we’re entering a new regime.
Conclusion
It looks like those who lost everything in last year’s bear market may have a chance of earning their money (and their respect) back with bitcoin surging past $28k mark due to current banking crisis
