As
Bitcoin
hits
its
highest
level
in
nine
months,
many
are
wondering
just
how
high
the
cryptocurrency
can
go.
With
a
market
cap
of
over
$1
trillion
and
a
surge
in
demand,
as
investors
seek
a
safe
haven
amid
economic
uncertainty,
Bitcoin’s
price
has
skyrocketed
in
recent
months.
This
has
left
many
wondering
whether
the
cryptocurrency
is
in
the
midst
of
a
sustained
bull
run
or
whether
it
is
due
for
a
correction.
US
Banking
Crisis:
Impact
on
Financial
Market
and
Cryptocurrency
Prices
Last
week,
the
abrupt
downfall
of
three
banks,
namely
Silvergate,
Silicon
Valley
Bank
(SVB),
and
Signature
Bank,
highlighted
the
fragility
of
the
conventional
banking
sector.
Analysts
have
identified
unfavorable
market
conditions
and
inadequate
risk
management
as
major
contributors
to
the
collapse
of
SVB
and
Silvergate.
The
downfall
of
SVB
had
far-reaching
implications
for
the
global
banking
industry.
Credit
Suisse,
the
second-largest
Swiss
banking
institution,
was
also
affected,
facing
a
severe
crisis
that
necessitated
a
$54
billion
rescue
package
from
the
Swiss
Central
Bank.
With
the
banking
crisis
unfolding,
investors
are
turning
to
cryptocurrency
as
a
reliable
alternative.
As
fears
of
a
potential
global
financial
crisis
escalate,
the
value
of
BTC/USD
has
continued
to
rise.
The
Connection
Between
the
Federal
Reserve
and
BTC
The
Federal
Reserve’s
overnight
balance
sheet
data
revealed
that
approximately
$300
billion
had
been
injected
into
the
economy
to
address
the
financial
crisis,
sparking
a
new
upward
trend.
This
action
effectively
reversed
months
of
liquidity
withdrawal
under
the
Federal
Reserve’s
quantitative
tightening
(QT)
policy,
and
experts
are
anticipating
the
reintroduction
of
quantitative
easing
(QE).
The
recent
reversal
of
the
Federal
Reserve’s
quantitative
tightening
policy,
which
had
been
in
effect
since
2021,
has
buoyed
BTC/USD
bulls,
who
are
now
looking
to
push
the
price
higher.
Additionally,
growing
concerns
about
a
global
banking
collapse
have
decreased
the
likelihood
of
the
Fed
implementing
a
50
basis
point
interest
rate
hike.
Instead,
Reuters
predicts
that
the
Federal
Open
Market
Committee
(FOMC)
may
only
raise
the
federal
funds
rate
by
25
basis
points
at
its
upcoming
meeting
on
March
22.
Inflation
and
Federal
Reserve
rate
hikes
can
have
a
significant
impact
on
the
value
of
Bitcoin.
When
the
Fed’s
interest
rate
decision
becomes
uncertain,
the
dollar
index
tends
to
decrease.
Currently,
the
dollar
index
is
at
103.86
and
may
continue
to
decline,
which
can
be
advantageous
for
BTC/USD
as
a
declining
US
dollar
can
lead
to
a
rise
in
Bitcoin’s
value.
Binance
CEO:
BTC
Resistant
to
Inflationary
Pressures
On
March
18,
Binance
CEO
Changpeng
Zhao
took
to
Twitter
to
praise
a
fundamental
feature
of
Bitcoin
technology.
He
emphasized
the
cryptocurrency’s
ability
to
resist
inflationary
pressures,
a
quality
that
traditional
fiat
currencies
lack.
In
his
tweet,
Zhao
pointed
out
that,
unlike
fiat
currencies,
Bitcoin
cannot
be
printed
out
of
thin
air
by
anyone,
and
mining
is
a
key
function
in
its
creation.
Zhao’s
comments
came
in
response
to
reports
that
the
US
government
had
issued
a
$300
billion
rescue
package
“out
of
thin
air”
following
the
collapse
of
three
major
banks
in
the
country.
In
the
last
24
hours,
BTC/USD
has
surpassed
$27,500,
according
to
data
from
the
market
monitoring
website
CoinMarketCap.
This
price
level
is
one
of
the
highest
that
BTC/USD
has
reached
in
the
past
nine
months.
Bitcoin
Price
On
March
18,
Bitcoin
began
trading
at
$27,350.
Within
the
past
24
hours,
its
value
has
increased
by
2.75%,
and
it
is
currently
trading
at
$27,416.
BTC/USD
has
experienced
fluctuations,
reaching
its
highest
value
at
$27,605
and
its
lowest
at
$27,053.
Furthermore,
the
value
of
Bitcoin
has
surged
by
more
than
35%
in
the
past
week,
with
the
recent
news
of
bank
failures
and
concerns
about
potential
interest
rate
hikes
playing
a
significant
role
in
driving
up
its
value.
Bitcoin’s
price
saw
a
sharp
decline
after
a
brief
consolidation
period
at
around
$26,500.
This
led
to
a
short-term
negative
trend
as
it
fell
below
the
$25,000
and
$25,500
support
levels.
Bitcoin
Price
Chart
–
Source:
Tradingview
As
of
Saturday,
the
BTC/USD
pair
is
trading
with
a
strong
bullish
bias,
but
it
is
facing
immediate
resistance
near
the
$27,750
level.
A
bullish
breakout
above
this
level
could
propel
the
Bitcoin
price
toward
the
$30,750
milestone.
However,
if
the
$27,750
level
proves
to
be
a
resistance
point,
a
sell-off
may
occur,
potentially
driving
the
price
down
to
$25,200
or
even
$23,020.
Buy
BTC
Now
Top
15
Cryptocurrencies
to
Watch
in
2023
Industry
Talk
has
compiled
a
curated
list
of
the
top
15
cryptocurrencies
to
watch
in
2023,
featuring
insights
from
the
experts
at
Cryptonews.
Whether
you’re
an
experienced
crypto
investor
or
new
to
the
market,
this
list
provides
valuable
information
on
promising
altcoins
that
could
have
a
significant
impact
on
the
industry.
Stay
updated
with
new
ICO
projects
and
altcoins
by
checking
back
regularly.
Disclaimer:
The
Industry
Talk
section
features
insights
by
crypto
industry
players
and
is
not
a
part
of
the
editorial
content
of
Cryptonews.com.
Find
The
Best
Price
to
Buy/Sell
Cryptocurrency
Cryptocurrency
Price
Tracker
–
Source:
Cryptonews