- Credit to borrow up to $54 billion from the Swiss National Bank.
- Bitcoin reached a 9-month high of the $26K price range.
The inherent nature of the failure of Silicon Valley Bank and its effects on the stock market over the past week have not yet been solved. Investors and authorities have switched their attention from the United States to Europe. Credit Suisse led a selloff of bank shares after its largest shareholder ‘Saudi National Bank’ stated that it was unable to continue providing financial support due to regulatory limitations.
After that, Credit Suisse company’s shares dropped by as much as 30% on Wednesday. In addition to monitoring Credit Suisse, the US Treasury communicates with its international counterparts. Further, Credit Suisse announced on Thursday that it was taking “decisive action” to borrow up to 50 billion Swiss francs ($54 billion) from the Swiss National Bank to boost its liquidity. The action came after Credit Suisse received a liquidity lifeline from Swiss authorities and a ripple effect from the failure of two US banks, ‘Silicon Valley Bank and Signature Bank.’
Cryptocurrency Market Status
Following the continued waves from the traditional bank stocks lift the global crypto industry. The leading cryptocurrency trader and enthusiast, Lark Davis, tweeted about the assets that hold and the net worth of the failed companies.
According to the tweet, Silicon Valley Bank (SVB) SVB had about 180 billion in assets. Signature Bank, which failed due to SVB had 110 billion in assets. And the recent collapse of Credit Suisse has 580 billion. Also, lastly, he mentioned, “Got Bitcoin?”. That may indicate that while the stock market is facing a crisis, Bitcoin price is increasing.
The global crypto market cap regained its $1 trillion cap. And the market leaders Bitcoin (BTC) and Ethereum (ETH) prices surged. Bitcoin reached its 9-month (since mid-June 2022) high of $26K price range on 14 March 2023. At the time of writing, BTC traded at $24,463, soaring over 13% in a week and 12% in a month.
Further, the largest altcoin, Ethereum, traded at $1,650, rose about 7% in a week and 9.7% in a month, as per CoinMarketCap data. Also, ETH gained its 6-month high of 1.7K range on 14th March 2023.
