- The price of Bitcoin exceeds 28 thousand dollars this Monday, March 20.
- Analysts estimate that these are people seeking refuge from long-term inflation and the debacle of the banking sector.
- Others believe that what they call the “crypto bubble” continues to grow.
“Bitcoin thrives in chaos,” headlines in the global financial media on Monday, March 20.
Not surprisingly, the most relevant digital currency not only does not seem to have suffered the impact of the global financial crisis in recent days, but the price rose to $28,000 for the first time since June 2022.
“The turmoil in the banking sector, the inflation data (higher than expected) and the renewed hopes related to the US Federal Reserve moderating the interest rate, make Bitcoin reach levels not seen in more than nine months”, publishes Bloomberg.
The price of 28,200 dollars this Monday It is the same one that the token had reached in June of last year, when it was going backwards after having touched $68,000 at the beginning of 2022.
If bought with the price of Bitcoin at the beginning of 2023, This is an increase of 69 percent in less than three months.
Other cryptocurrencies have also risen, driven by the push of the most important one. Ether, a token of the ethereum blockchain, rose 50 percent in December 2022 and Solana, one of the cryptocurrencies that fell the most in 2022, recovered more than 70 percent in 2023.
The price of bitcoin rises, contrary to bank actions
The chaos generated in the global banking market, with Credit Suisse being compulsively acquired by its rival UBS (with the help of the Swiss government), failed to affect the price of cryptocurrencies.
Neither did the fall of Silicon Valley Bank (SVB), the most important bank for global startups, last week.
Announcement Solotdirector of Digital Assets at Marex, told Bloomberg that the price of bitcoin “is related to liquidity conditions and real rates.” “Real rates have fallen, liquidity conditions have expanded and it seems that we are entering a new scenario.”
For economic analysts, the global uncertainty related to bank failures worried many, but, at the same time, encouraged Bitcoin fans who see the digital asset as a hedge against inflation.
In 2022, a raid of bankruptcies in the sector (such as that of FTX) caused the price of bitcoin to fall more than 58 percent.
Now read:
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