- Bitcoin (BTC) has seen huge growth in the last seven days.
- BTC is currently hovering around the $27,000 mark.
- Some are calling for a new crypto bull market.
The banking system in the U.S. seems to be on the verge of collapsing as multiple banks announce having liquidity issues and other concerns, even though the Federal Reserve has tried to help the struggling banks.
However, as banking stocks plunge and investors panic, Bitcoin and the rest of the cryptocurrency market are experiencing a rally that some are calling the start of a new bull market.
Bitcoin (BTC) Nears $27,000
Bitcoin (BTC) has grown tremendously over the past week, despite the panic in the global financial markets over the banking system issues.
BTC is currently hovering around the $27,000 mark, according to data from CoinGecko. BTC is now trading at $26,574, up 6.5% in the past 24 hours and a staggering 30% in the past week.
Bitcoin (BTC) price. Source: CoinGecko.
The last time BTC traded at $27,000 was June last year when BTC fell from $31,000 to $17,000 in a matter of days following the implosion of the Terra-Luna ecosystem.
BTC’s market capitalization currently stands at $513 billion. The total market capitalization of the cryptocurrency market is $1.17 trillion.
Ethereum (ETH), the second largest cryptocurrency, has also seen significant growth, though not as much as BTC. ETH is currently trading at $1,712, up 3.4% on the day and 19.7% in the past week.
ETH/BTC is down 3%, the lowest since July 2022. Some believe that it will go down even lower as the date for staked ETH withdrawals – April 12 – nears.
As BTC and other cryptocurrencies continue to pump, some believe this is the beginning of a new bull market.
On the Flipside
- The crypto pump can be associated with the U.S. Federal Reserve’s bailout of regional banks. However, bank stock prices have continued to go down on Friday, showing there’s little confidence in how the banking system currently looks.
Why You Should Care
The increase in the price of BTC and other crypto assets shows that some investors are fleeing the banking system and are willing to purchase alternative assets to avoid a potential banking system fallout. However, it’s also possible that the current pump is a bull trap.
Read more about a possible BTC dump:
Bitcoin Dump Incoming? U.S. Government Moves $1B of Seized BTC
Read more about when to expect ETH staking withdrawals:
Ethereum Devs Confirm ETH Staking Withdrawals Date