Bitcoin jumps 35% in the week and is approaching $30,000

Bitcoin has crossed the $27,000 mark for the first time in nine months and has gained 35% in the past seven days. Equities, on the other hand, had a red day with the index Dow Jones fell 1%, while gas stocks fell 5% and oil 1.5%.

Credit Suisse saw a larger 7% decline despite Swiss central bank guarantees for a $50 billion loan.

First Republic, another shaky bank, also saw a much larger drop of 26% per day after major banks poured in $30 billion to reassure the industry.

Meanwhile, the market is gripped by uncertainty, especially a lack of transparency about what exactly is happening with the banks.

So commodities like gold are up 2.5%, while bonds are down to 3.4% on returns of about 4% in February.

Bitcoin has joined the “party” of safe assets, with the cryptocurrency now back in a solid and safe oasis of calm, in stark contrast to last year.

The bear market ended suddenly and punished the reckless enough to get them back into hard money where you can’t reserve a fraction without playing with fire.

So FTX, Luna and everything else that affected the market in 2022 was a thing of the past, with bitcoin potentially experiencing a parabolic rally.

Almost exactly four years ago, bitcoin surged from $4,000 in April to $16,000 in June 2019, apparently caused by an April Fools joke on the Trustnodes website.

If repeated in this current bull cycle, bitcoin could reach $50,000, and the macro is quite ripe for that, but first it meets some resistance at $28,000.

However, how strong this resistance is depends on how fast bitcoin wants to move, as the break at USD 25,000 wiped out part of the USD 28,000 resistance to give the USD 32,000 resistance some more resistance. .

All told, possibly because bitcoin will do what it wants, but at least the cryptocurrency is now a safe asset again and much more so than it has been in nearly a decade.

Because ten years since the Cypriot hairstyles, a much larger audience can now see firsthand and compare the old paper bank and the new code-based digital bank.

Sure, we had meltdowns here last year, too, but that’s why we built DeFI, where there were no meltdowns – other than the usual setbacks of smaller projects or undecidable amounts.

However, some wanted to play these DeFis on centralized entities, and we all get to choose, so that’s their problem.

However, we could see these entities focusing on the public blockchain. There was no real uncertainty so with something like FTX for example everything you needed to know as far as the market was concerned was known in about 48 to maybe 72 hours including how far the contagion could go, who was affected, what are the readings and basically everything .

The only question was whether the authorities would take action to send FTX CEO Sam Bankman-Fried to jail for not being on the blockchain. They just happened to send him to court.

In the paper system, unlike the banking system, this kind of information resides in confidential documents and reports with regulators and even these are only part of the picture.

We therefore have to trust that the banks themselves are truthful and that the regulators are too, and we only try to analyze particular actions, such as large banks depositing money with smaller banks.

If that doesn’t show the code money, if not the future, then it is and will be an important part of it, so go build a Stone Age escape in the Metaverse, because that’s where you belong.

However, the banking system currently has its role, and a very important one. Moreover, as the example from four years ago shows, the current price action essentially does not have much to do with this banking system.

Some see the two in competition we see them more as one upgrading the other because crypto holistically is a hybrid system where you have the bearer assets but also banking entities or trusted intermediaries operating on the very transparent rails of the blockchain.

It is a new way to limit the trust required and abused, to limit uncertainty that can be very harmful in itself.

Such a new form of knowledge, financial knowledge, which translates into a new form of power for man.

These banking issues are therefore, as far as cryptos are concerned, more the recovery of some facts.

Because that cryptocurrency is not insecure, any more than other assets, including fiat, and that cryptocurrency is not uniquely volatile, as we’ve seen with “safe” bonds and what the stock of banking memes is becoming.

A lot of people in the financial world obviously knew all this already which is why a lot of young bankers joined this space but the general public might be learning it now too certainly anyone with over $250,000 that has to put it down somewhere would you think anyway.

And so bitcoin is back, like a train. It left behind another $25,000 season, though no one knows if it will return.

Source: Live Coins

follow:
\