Bitcoin soars as Silicon Valley Bank depositors get a regulatory lifeline
Following the decision by the U.S. Department of the Treasury, Federal Reserve, and Federal Deposit Insurance Corporation (FDIC) to restore all customer deposits at failed Silicon Valley Bank (SVB), Bitcoin’s [BTC] price rallied by almost 10% in the last 24 hours.
On 11 March, BTC’s price suffered a significant drop below $20,000 following a mass withdrawal of funds by customers of SVB.
As a result of this, the California Department of Financial Protection and Innovation shut down the bank on the same day. This led to the de-pegging of various stablecoins and other associated cryptocurrencies.
Read Bitcoin [BTC] Price Prediction 2023-24
Improved sentiments, however, returned to the market as Federal regulators, in a joint statement on 12 March, announced the approval of “actions enabling the FDIC to complete actions in a manner that fully protects all depositors” at the failed bank.
Exchanging hands at $22,422.56 at press time and with a 9% jump in price in the last 24 hours, BTC logged a corresponding hike in trading volume during the same period.
Per data from CoinMarketCap , the coin’s trading volume was up by 40%. A jump in an asset’s trading volume with a price rally to show for it is taken as a bullish sign that indicates improved positive sentiment and continuation of the uptrend.
Data from Santiment confirmed the positive sentiment that lingered in the BTC market at press time. The coin’s weighted sentiment was a positive 7.114% at the time of writing, suggesting that investors believed in the continued growth of the asset’s price.
Further, BTC’s price movement assessed on a 12-hour chart revealed a pattern of growing coin accumulation. Key momentum indicators such as the Relative Strength Index (RSI) and
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