On Monday, cryptocurrency prices rose after the U.S. government moved to protect Silicon Valley Bank depositors, and HSBC bought the bank’s U.K. unit.
At 3 a.m. ET, bitcoin rose 10% to $22,560.20, its highest level in 10 days. The U.S. Treasury, Federal Reserve, and Federal Deposit Insurance Corporation announced Sunday that SVB depositors could access their funds starting Monday.
The U.K. Treasury said Monday “no taxpayer money is involved, and customer deposits have been protected.” HSBC has agreed to acquire the U.K. arm of SVB for £1 ($1.21).
On Monday, cryptocurrency prices rallied as the U.S. government moved to protect depositors of Silicon Valley Bank and HSBC bought the lender’s U.K. division.
Based on Coin Metrics data, Bitcoin was last up 5% at $22,374.68. Ether was up 2% to $1,585.58.
According to CoinMarketCap data, the second largest stablecoin, USDC, has bounced back by approximately 4% over the last 24 hours after news of enhanced deposit protection. A few days ago, there were concerns about this cryptocurrency’s stability as it debugged from its $1 price point and dropped as low as 88 cents for three days.
This was due to doubts surrounding Circle’s $40 billion USDC empire, with reports suggesting that only 8.2% of its total supply of reserves was held in SVB ($3.3 billion). However, on Monday morning the situation changed when Circle announced that these funds had become available and that reserve risk had therefore been “removed”.
Trading volumes for BLUR are high
The world’s second-largest cryptocurrency Ethereum (ETH) is currently trading 9% higher at a price of $1,686. As of now, ETH faces immediate resistance at $1,700.
Other altcoins have also seen significant gains. Binance Coin (BNB) has gained 7%, XRP has gained 4%, Cardano (ADA) has gained 5%, and Polygon’s MATIC has gained 10.14%. Whales are piling up their MATIC reserves in large numbers. There have been over 55 million MATIC coins added by whales over the past month.
The 24-hour trading volume for BLUR tokens on the Blur NFT marketplace reached close to $1 billion on the first day of trading.
As of press time, BLUR is trading 50.36% up at a price of $1.13, after plummeting by 85% upon launch.