Bitcoin Booms Beyond $28K as Banks Fall: Time to Invest?

• Bitcoin recently surged past $28,000 per unit, the highest it’s been since June of 2022.
• The surge is partly due to a decline in banking sector, with three major financial institutions going under or announcing plans to liquidate.
• Credit Suisse was bought out by UBS, which has bolstered bitcoin’s value by over $4,000 in 24 hours.

Bitcoin Surges Beyond $28K

The recent surge of Bitcoin beyond the $28,000 per unit mark is partially attributed to the decline of the banking sector. Over the past month, three major financial institutions (Silvergate, Signature and Silicon Valley Bank) have gone under or announced plans for full liquidation.

Aiding Credit Suisse

Fortunately for Bitcoin investors, Credit Suisse was able to be bought out by UBS which has added a few extra years onto its lifespan and also caused an increase in Bitcoin’s value with an additional rise of over $4,000 in 24 hours.

2019 vs 2021

2023 is shaping up to be somewhat similar to 2019 when it comes to Bitcoin healing from earlier wounds inflicted upon it during 2018 which was considered its worst year on record at that time. In 2019, BTC rose from its then all-time low of around $3k per unit up to nearly $20k by the end of that same year – representing an approximately 50 percent increase from 2018’s closing rate.

2022: A Worse Year for Crypto?

However 2022 ended up being far worse than even 2018 with crypto space losing more than 2 trillion dollars in overall valuation as coins such as BTC lost more than 70 percent of their worth over just 11 or 12 months. This slump saw Bitcoin initially rising once again to a new all-time high of about $68k per unit only to begin trading in the mid-$16K range shortly thereafter – a sad sight indeed!

Is Healing Finally Taking Place?

But perhaps now finally things are back on track and those who lost everything during last year’s bear market may have an opportunity to regain their money (and respect). Ilan Solot – co-head of digital assets at Marex – commented that “Bitcoin is correlated with liquidity conditions and real rates” signifying perhaps that we are entering a new regime where healing may finally take place within the crypto space!