Bitcoin jumped 8%, Ether advanced 6%
Cryptocurrencies advanced as investor concerns about the US banking sector rose again, with First Republic Bank taking steps to bail it out.
Bitcoin jumped 8% to $29,828.26. That helped to increase Ether, which advanced 6% to $1,957.03. Both cryptocurrency’s assets are still below the key levels.
Bitcoin has been trading sideways for several days. The problems in the First Republic could help push the cryptocurrency price higher.
Shares of First Republic fell nearly 50% to record lows on Tuesday after it reported a massive drop in deposits as customers withdrew money following the collapse of Silicon Valley Bank.
Bitcoin advanced 22% in March as the crisis among US regional banks exposed investors to its potential use as an alternative banking system.
Bitcoin’s 30-day rolling correlation with gold has increased since March and now stands at 57%. However, last week’s pullback did not reverse the year-to-date uptrend.
Traders are eyeing the Federal Reserve’s latest decision on whether it will stop raising interest rates. The central bank’s next policy meeting is next week, and the latest reading of its preferred inflation gauge, personal consumption expenditures, will be released later this week.
The cryptocurrency market learned last month that the banking violation positively affected the price of Bitcoin.
Cardano is a blockchain proof-of-concept platform designed for innovators. Cardano allows developers to build a range of decentralized applications.
Last month, Cardano experienced a steady price pullback and a significant drop in trading volume. Cardano is bullish, having moved 12.55% in price in the last five days. This growth of Cardano is due to the significant stabilization of prices in the crypto market and the introduction of the Cardano wallet.
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