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Stablecoin

Bitcoin does a drop then pop LONGBTCUSD three days ago did a drop to take out stop losses and get shorts to take profit. Since then it reversed climbing over a price of 45.4 K. The MACD lines are under the histogram which just flipped negative to positive indicating the beginning or recycling of bullish momentum. The RSI indicators are not at all in overbought territory no matter then run up over the following three days. Relative Volumes are about 3X the running average. CLSK Clearspark reported today and surged. Anyone who played my options idea for it, saw a 300% return overnight. HUT likewise. Although I did not post an idea, BTBT got even more altitude and got over its past year high while still only 20% of its all-time high, Is this with the crypto resurgence at its onset predicted by both pundits and fortunetellers? Maybe or maybe not. But what it might be is an opening to get into your favorite crypto play while the momentum continues. I would seem that the most aggressive is near-term options on equities approaching earnings. MSTR is a megacap slow moving and it got 25% in the past five days on the share price. The small caps are moving much more than that. If you have cash in reverse this might be a to deploy it judiciously here in some of the crypto action, in my opinion.
BITSTAMP:BTCUSDLong
by AwesomeAvani
Cerberus sell signal Cerberus observes the ratio between stable coins and the markets to forecast extremes. We are currently seeing a sell signal. The past sell was a fake out so its worth having a look a how often this can happen and if it has ever happen to see two fake outs in a row. From 2017, where we can start tracking all the stable coins used in the indicator, we see 15 sell signals. So far only two including the past month one are the only ones that got it wrong. That’s about a 77% right. What’s more interesting is to notice that there’s never been two signals wrong in a while. Not financial advice only chart observations.
INDEX:BTCUSDShort
by TheTradingParrot
3
WHY IS THE FEDERAL RESERVE PUSHING FOR STABLECOIN REGULATION?WHY IS THE FEDERAL RESERVE PUSHING FOR STABLECOIN REGULATION? Federal Reserve Chair Jerome Powell emphasizes the need for a legislative framework for stablecoins to ensure financial stability. The Fed’s push for regulation highlights the growing integration of stablecoins with the traditional financial system and their potential risks. Recent financial turmoil involving stablecoins, like the USD Coin incident, showcases their vulnerability and interconnectedness with traditional banks. Looks like the Federal Reserve is steering America toward a future where stablecoins are not just acknowledged but also regulated. In his recent meetings with House Democrats, Jerome Powell made it plain that a legal framework for stablecoins is an absolute must if the United States is to effectively traverse these unexplored seas. This position shows a major change in attitude toward digital currencies, which is indicative of the increasing awareness of the possible effects they may have on the conventional financial system. The Case for Regulatory Frameworks Financial experts have come to a common understanding, as Powell has pointed out, that without a regulated framework, digital currencies might face problems as they gain popularity. One way to protect one’s wealth from the ever-changing cryptocurrency market is to invest in stablecoins, which are tethered to conventional currencies such as the US dollar. In addition to allowing merchants to make rapid transactions, they also provide a way to store or transfer funds independently of banks and are becoming more integrated into the traditional financial system. But this connection isn’t risk-free. Recent events at Silicon Valley Bank and Circle Internet Financial Ltd. show how stablecoins are susceptible to swings in the conventional banking industry. Circle Internet Financial Ltd. had a large amount of USD Coin reserves stuck in the failing bank. Even while stablecoins are intended to be stable, they may still be affected by actual financial crises, which can impact both their value and the market as a whole. As an example of how closely linked digital currencies are to the conventional banking system, consider the USD Coin event, in which its value fell below $1 during a banking crisis before recovering due to government intervention. The Ripple Effect on Monetary Policy Stablecoin regulation is important to the Federal Reserve for a number of reasons, including but not limited to avoiding market volatility and mitigating their influence on monetary policy. Conventional methods of monetary regulation face a serious threat from the advent of narrow banks, stablecoins, and central bank digital currencies (CBDCs). One example of how financial regulation is changing is the way the Federal Reserve has changed its monetary policy practices since 2007. These include paying interest on reserves and using reverse repos and central bank reserves to influence interest rates. Looking at digital currency makes this transition even more apparent. Interest rate setting and the total amount of the Federal Reserve’s balance sheet are only two areas where CBDCs and stablecoins have the ability to cause significant systemic disruption. In their published study, the Federal Reserve examines these effects and notes that monetary policy adjustments may be required to forestall a decline in lending and preserve economic stability in the case of digital currency integration. Based on the similarities between stablecoins and CBDCs, the study concludes that digital currencies with higher interest rates would attract more investors and deter depositors from going to conventional banks, which might have an effect on lending volumes. As a result, the equilibrium interest rate would fall and the central bank would have less room to manoeuvre in times of crisis if this scenario plays out. Another nuance comes from the idea of “narrow banks,” which compete with traditional commercial banks for customers’ deposits but do not provide loans themselves. Commercial banks may see a decline in lending capacity and repercussions to the loan market as a whole if depositors flee to these institutions due to their lower interest rates and easier structure.
COINBASE:USDTUSDLong
by henryartem
Everyone is panicking!!! #USDC depegs! I accumulate :)#BTCUSD the down channel is self explanatory. Breakout and retest. I'm thinking about 2025 and acting like a smart player. During despair it's tooo easy to click the sell button along with the crowd. Like it is too easy believe the paradigm and buy near the tops. The USDC peg will be restored. Circles losses are actually quite small, and their treasury holdings generate a large yield. Jim Cramer has been telling to sell for 9 months so u know it's the best time to accumulate :)
COINBASE:BTCUSDLong
by BallaJi
1
Deciphering the Charts: A Closer Look at BTCUSDT's FutureD ear TradingView Community, B efore I delve into the analysis, it's important to note that I do not consider the current price level as the optimal entry point for a short position. While this prediction suggests a bearish outlook, the ideal entry points lie closer to the horizontal red dotted line. The suggested entry points are specific to my risk appetite, and your approach may differ. Even if you find merit in this prediction, your choice of entries, target prices, stop loss, trail profit parameters, and other safety measures should align with your individual risk tolerance. It's essential to understand that past performance does not guarantee future results. I share a medium-term perspective with the community. This prediction is subject to short-term fluctuations, and its outcome depends on various technical factors aligning. Our AI system, drawing insights from deep neural network analysis, has identified the potential emergence of a bearish chart pattern known as a "rising" pattern, which often marks the end of bullish trends. S o, what technical indicators support the idea of a bearish rising pattern? Notably, the volume has consistently decreased between October 24th and November 2nd, suggesting a period of consolidation or more. Historical data indicates that volume patterns often coincide with the conclusion of trends. In this case, the volume indicator implies that the recent bullish trend may be nearing end. It underscores the significance of the volume indicator in relation to channel pattern analysis. A dditionally, on November 1st and 2nd, there were significant transactions, often referred to as "whale transactions," across major exchanges' spot BTC-USDT markets, primarily involving Bitcoin sales. The red candles in the transparent white boxes on the volume section of the chart represent these selling activities. While I avoid making hasty judgments, some theories in the crypto trading community suggest that whales tend to impact smaller traders. I present this information without taking a stance on the principle, but for those who find it relevant, it's worth considering. T o illustrate this analysis, I've chosen to use 4-hour candles known for providing a balanced representation that minimizes market noise, making them suitable for weekly or even daily positions. Our AI system has outlined two potential scenarios for future price movements. The price could find support from the current trendline (represented by the bottom white line), leading to continued consolidation, as depicted by the top dotted white arrow. Alternatively, should the mentioned support break, it could pave the way for a more substantial decline, with the bottom dotted white arrow signifying the potential target price. Both scenarios complement our bearish perspective, with the top arrow indicating consolidation before a downturn and the bottom arrow visualizing a more direct fall. W hile various indicators, such as Relative Strength Index (RSI) divergence, align with the potential scenarios depicted on the charts, it's essential to recognize that this pattern is unconfirmed. There's a chance that we may witness entirely different developments in the coming months. Therefore, I advise a cautious approach safeguarding your existing funds rather than aggressive day trading. Your financial security should always be your top priority. tl;dr Position: Short Current Trend: Bullish Upcoming Trend: Potentially Bearish Indicators: Volume Consolidation, Whale Transactions, Rising Supports and Resistances, RSI Divergence Important: This might not be the best entry. Don't forget your stop loss and trail profit if you decide to put any positions. Warmest regards, ELY
Short
by Elysian_Mind
STABLECOIN – QUIZZ FOR SMART TRADERS Few months ago, I posted on the USDT.D ( Follow the money if You wanna hit your target ). According to the CryptoAsset market, USDT.D is 7.86%, so far. But if we add CRYPTOCAP:USDC.D to this chart, what is not insignificant because they are predominantly used in DEXs, we reaching 10.22% . Knowing that CRYPTOCAP:BTC.D is at 49.86% ; CRYPTOCAP:ETH.D at 19.03%. The TOTAL represent quite 80% of the Market… Do you need me to draw a picture of what I think about the rest ? In any case, when you are in an MarkUp channel, the probability of breaking it out to the downside could ONLY confirm the end of a trend, except for what you call a deviation (which in my language means a mSOW). You’ve understood it well! A decrease in stablecoin dominance simply means their use in investment, or rather their re-injection into Cryptoassets market ! Even if this Chart showing a Ribbon reversal, even if it setup a potential exit, with a potential desire to kick the 200, IT WILL TAKE TIME to exit from this Failed Structure because to confirm this exit (once Major SOW happen), we need to see at least a pull back on the low Fork trendline (ICE), no more than its MidRange. The only indication in this chart, is the volume decreasing for a potential spike/squeeze before any logical construction (because Weiss indicator bullshiting at this point!). In the assumption of lapping the 200, it will be highly likely to confirm if there will be a rejection or not ! Aesthetically this MarkUp is so perfect. I won’t say if we gonna make another lap to continue the progression! Of course, I would have preferred to see an upthrust before finding ourselves in front of this exit trap. Not that the last movement is too weak or too shy, which indicates the difficulty in a chaotic market progression. What is important in an increase or a decrease is not the trend itself, but rather the strength of the movement. From Weekly to Daily While in traditional markets, the construction of forks with different phases (from A to F) is obvious, in crypto, MM cause prices to fluctuate in all directions, leaving a lot of liquidity in both sides. This makes TA more complicated. As easy as it was to understand the Weekly TF, it gets more complicated on the Daily one. As I have often repeated, the cryptocurrency market is very young, with low liquidity, and therefore very volatile. There is a lack of rules, almost no discipline, which sometimes shows the intensity of the movements. Furthermore, when Institutional need to cover margin call on classics they don’t hesitate to purge their “crypto” positions, as we saw it in the past. According to AR as of 15.08.22 (ICE level), we currently working on the same level. If we consider the Spike as of May 22 with a kind of TPO leaving (9%), we can appreciate a double bottom. There is 4 bearish divergences, plus 3 “Yellow candles”, if I consider the Spike as of 10.03.23 being a LPSY, we just slid into a new Fork, more practicable. I could not exclude a 3 taps (9% again). It become obvious. Furthermore, We broke 8% , we might “BackUp” at least on this zone to confirm the continuation of the trend or break it to change the character. And since it’s in this area that our 200 Weekly is located, it would suit us well. Distribution or Accumulation ? As much as MarkUp 1 is clear and straightforward, MarkUp 2 seems to have been rushed and “destroyed”, with a possible QUASIMODO leaved ! This pullback below the VAH, with that kind of LVN that even a dentist would think twice about how to fill it, confirm that we are still in a PHASE B. If so, POC level (9.66%) is inevitable ; VAL (9.35%) could be lapped, and I don’t exclude squeeze a Spring below 9% at most 7.74% (200 Weekly) with a pull back. This would be a PHASE C, according to push dominance above 11% quickly. Otherwise, it will be a never-ending day (new lap till ST level). Below 9%, I would be like a Mowgli with this important question if I should be back to the Jungle once I leaved it! We have time. “Yellow candle” H4 triggered20 (10.28%) and POC is a magnet. This could confirm my BTC projection. Conclusion What could be the catalyst the confirm me the end of this tremendous Bear ? On fundamentals ! I am still negative on this market till we did not wash it definitely ! 1.8M tokens, over 700 exchanges…. don’t you think it’s a lot ? There will be projects that will be disappear once MIL:BTC will break 25k. 20k will be catastrophic we should try the be more objective on : SMO might end in Ukraine by December. Taïwan – China will the next step !!!!!! ECOWAS (G7) vs. Free African countries (BRICS) US elections 2024 Binance issue + different new cases to come… MICA law + CBDC attempt (typically test the market to try to interfere). I am not talking about my POV over dislocation of the Europe. And more much to come in the next years. I don’t know what is the global current use of DeFi tools. I stopped at 8% worldwide…. We just entered in the Digital AGE and decentralised systems become usual. The Adoption will take some time.
CRYPTOCAP:USDT.DShort
by UnknownUnicorn6367453
USDT.D 1W until the end of 2023USDT.D looks strong. Current correction should end in the next week at level 7.52% Last week of September will kickstart USDT.D's powerful rise up to 8.36% or even 9.23%. This rise will be followed by a healthy correction, which will end in mid October. Both scenarios Fast and Slow agree to show a radical appreciation of USDT starting from 16 October. Only in mid November we will see possible correction and domination of one scenario out of the two shown. USDT.D might respect level 9.23% for some time or it might breakout and rise to 15.94% in the course from mid November to mid January 2024. Thus crypto market might depreciate 50% by the end of 2023. Is it global financial crisis coming?
CRYPTOCAP:USDT.D
by discarding
🔥 Stablecoins Predicted Bitcoin DUMP🚨 100% Accurate Signal!In this analysis I want to take a closer look at my previous relative Stablecoin marketcap analysis back in August. To be more precise, I'm measuring the stablecoin marketcap as a percentage of the total marketcap, which constructs this bullish channel pattern. To build it yourself, put this in the TV search bar: (CRYPTOCAP:USDT+CRYPTOCAP:USDC)/CRYPTOCAP:TOTAL In my previous analysis I mentioned that this "indicator" has a 100% correctness-rate at predicting Bitcoin dumps. As of now, it has correctly predicted 4 major BTC tops. It's still unclear to me whether we're going up for a few weeks, or that we go up for months and that this indicator will retest the top resistance. From a long-term investing perspective, I hope that we go up for months and go for a retest. Crypto will be extremely cheap at that point with a high probability for gains in the future. Do you enjoy this indicator? What is your view on the market? Share your thoughts in the comments 🙏
CRYPTOCAP:USDTLong
by FieryTrading
30
PYUSD - The PayPal StablecoinHi Traders, Investors and Speculators of Charts📈📉 PayPal announced yesterday on August 7, 2023 that it has launched a U.S. dollar stablecoin, called PayPal USD (PYUSD) . PYUSD is fully backed by U.S. dollar deposits and short-term U.S. Treasuries, and is issued by Paxos Trust Company. It is available to PayPal customers in the United States with PayPal Balance accounts. PayPal has partnered with Paxos to launch PYUSD. Paxos is a leading blockchain infrastructure company that specializes in stablecoins. Paxos also issues the BUSD stablecoin, which is used by Binance. PYUSD was first announced in January 2022, but its launch was delayed due to regulatory concerns. However, PayPal has since received approval from the New York State Department of Financial Services to issue PYUSD. PYUSD is currently valued at $1.00 per token. It can be used to buy, sell, hold, and transfer funds on PayPal. It can also be used to make payments to merchants that accept PayPal. PayPal has been crypto-friendly for some time. In addition to PYUSD, PayPal also offers four other cryptos: Bitcoin, Bitcoin Cash, Ethereum, and Litecoin. PayPal customers can buy, sell, hold, and transfer these cryptocurrencies on the PayPal platform. PayPal's launch of PYUSD is a significant development in the cryptocurrency space. It is the first major financial technology firm to launch its own stablecoin . PayPal's move is likely to boost the adoption of stablecoins and cryptocurrencies in general. 💭 It's interesting to see how the fundamentals tend to follow the chart or vice versa. When we analyze the PayPal chart, we see a definitive completion of a bearish trend / downward cycle. According to Wyckoff Method and other market phases, the next cycle is the upward cycle / bullish phase. And so, this news comes at just the right time to kickstart a new market cycle! _______________________ 📢Follow us here on TradingView for daily updates and trade ideas on crypto , stocks and commodities 💎Hit like & Follow 👍 We thank you for your support ! CryptoCheck NASDAQ:PYPL
NASDAQ:PYPLLong
by Crypto-Check-
24
Update to Crypto cycle indicatorA couple days ago, I published this idea . It's an idea taken from a setup Will Clemente published on Twitter last year as the crypto space was bottoming, more specifically, as Ethereum hit bottom. He was using total market cap of USDT + USDC divided by total crypto market cap. I've revised this to add the next two largest stable coins, DAI and BUSD, by marketcap. Log scale, draw parallel lines and see how it lines up with Bitcoin and Ethereum cycle highs. It now shows more effectively tops and bottoms intracycle, meaning the summer 2021 selloff now touches the top line, which it did not do previously. The pump prior to the COVID low that coincided with bitcoin halving also gets much closer to the top line, providing a solid indication of another trade opportunity for the following months. Now, what is interesting is when you plot Ethereum vs. this chart. You do start to notice some differences. Where Bitcoin tops in April 2021, Ethereum rocketed to wild new highs in May while BTC set a lower high, then the entire space sells off together. They both bottom the same time in the summer, then the next top in November also happens at virtually the same time. So, "alt coin season" seemed to only apply to the April-May '21 timeframe, where after that they moved much more in tandem. The bottom indicator in the 2022 selloff pinned the Ethereum bottom (it actually goes outside of the top parallel in this setup), but Bitcoin took longer to find bottom. But, unlike the original USDT+USDC/TOTAL chart, we still get a touch on the top line as Bitcoin does its first test below $16,000 in November. The ultimate bottom was only minimally lower in December, at which point the indicator had moved off the upper line, pointing to a bullish divergence despite the ultimate bottom price of the cycle. Right now, we just set the BTC high coming off the 2022 lows, but Ethereum did not retest its highs at the same time. It set a lower high, which I take as yet one more indication that this is not the most bullish upwards move for the crypto space, combine that with the indicator crossing over that bottom line indicating a market top again, this makes me feel like this is not the place to buy Bitcoin or Eth. I'll wait for the next large dip, likely towards the end of this year, before finding another spot to go long for the big bull run setting up for the post halving bull run, 2024-2025. Here is a chart of the indicator by itself without the double pane with BTC or ETH: The 'formula' can be copied and pasted as follows: (CRYPTOCAP:USDT+CRYPTOCAP:USDC+CRYPTOCAP:DAI+GLASSNODE:BUSD_MARKETCAP)/CRYPTOCAP:TOTAL Then draw a parallel hitting the approximate tops and bottoms, using the logarithmic scale, though I'm more than happy letting the kind of extreme Ethereum '22 bottom be anomalously outside of the top parallel here in order to keep other indications of market bottoms more obvious.
BITSTAMP:BTCUSD
by dieseldub
3
🔥 Stablecoins Are Predicting A Massive DumpIn this analysis I want to take a look at the stablecoin (USDT/USDC) dominance. To construct this indicator yourself, simply put "(CRYPTOCAP:USDT+CRYPTOCAP:USDC)/CRYPTOCAP:TOTAL" in the symbol search area. As seen on the chart, the stablecoin dominance (the stablecoin value / all crypto value) has been steadily rising over the years. There can be a multitude of reasons for the rise, but more important in this analysis is the fact that the stablecoin dominance seems to follow a clear bullish channel pattern, where it bounces from both the top resistance and the bottom support. The stablecoin dominance is currently closing in rapidly on the bottom support. The last three times that the stablecoin dominance reached this support it always pinpointed a local Bitcoin top and signaled an incoming dump. Will this happen again in the near future? We can't say for certain, but historically we're getting very close to a moment where Bitcoin can dump. There's definitely more room to grow, but risk is on the horizon. Best case for the bulls would be that the dominance would fall through the support and continue to go down.
CRYPTOCAP:USDTShort
by FieryTrading
13
Dollar / Real (Brazil) possible targetting higher levelsTarget one is reached. Usually after a beautiful cup and handle like this one, we see further upward price actions. Fundamentally, I don't think Real will sustain this trend of being valued, since the current president is a former prisioner charged for corruption and recently has been seen in Dubai with his 30y younger spouse in a hotel costing 60,000 reais per person by night, using public money to afford the expenses. Taxation is going nuts all over the country again, the previous president had cut them all, and now they are all being reinstalled. Inflation will hit and it's interesting to watch the DXY chart. I am keeping my earning in dollars as long as I follow the continuation here.
Long
by RaposaRacer
🔥 Stable coin Landscape Changed Drastically In 2023In this analysis I want to shed some lights on the top 3 biggest stable coins and how their relationships changed in 2023. First of all, it's natural for stable coin marketcaps to decrease during bear markets. Investors are leaving the space and exchange their stables for fiat. This is something we've seen for the better part of 2022. However, things changed in 2023. - 13th of Feb: Binance and PAXOS (the issuer of BUSD) got hit by the SEC (U.S. Securities and Exchange Commission), which led to no more BUSD being minted. In turn, this has led to BUSD holders to convert their stables to both USDT and USDC, which saw a significant up tick in their marketcap. Basically, BUSD is a dead coin at the moment and will inevitably go to a marketcap of zero. - 10th of March: USDC depegged from HKEX:1 during the depths of the banking crisis because it had funds in SVB. USDC quickly repegged, but trust has been damaged to such an extent that investors dumped their USDC and moved to USDT. In the end, I think that USDT is the big 'winner' of the stables. It was the first, the biggest and apparently the safest. In my eyes, there's little reason to have any other stable than USDT, since it has clearly shown resilience over other big stables. In addition, I think that the market will gradually move towards having only 1 stable coin, it being USDT. What is your preferred stable coin, and why? Share your thoughts 🙏
GLASSNODE:BUSD_SUPPLYLong
by FieryTrading
7
USDD Strablecoin DepeggingAs i warned you in the past article, TRX is about to collapse because of USDD: According to their website, USDD is secured by the over-collateralization of multiple mainstream digital assets (e.g. TRX , BTC , and USDT). The total value of collateralized assets is significantly higher than that of USDD in circulation with the collateral ratio set at 120%. This is the USDD collateral: TRX 10,929,535,279 BTC 14,040.6 = about $313Mil USDT 29,964,253 USDC 39,719,839 so besides TRX , the total amount of other collateral is $383Mil for a stablecoin that has a mk cap of $724Mil. Now let`s say TRX drops to the Covid level of $0.0072, which is not unrealistic in my opinion. Then the TRX collateral of 10,929,535,279 coin will be worth $78,692,654. Assuming that BTC won`t go lower, then still the liquid collateral of USDD will be around $462Mil for a mk cap now of $724Mil, which will result in a huge depegging od the "stablecoin". Looking forward to read your opinion about it.
Short
by TopgOptions
TRX Tron the next to fall?I think TRX Tron is the next to fall after BNB Binance Coin. The reason is their stablecoin, USDD. According to their website, USDD is secured by the over-collateralization of multiple mainstream digital assets (e.g. TRX, BTC, and USDT). The total value of collateralized assets is significantly higher than that of USDD in circulation with the collateral ratio set at 120%. This is the USDD collateral: TRX 10,929,535,279 BTC 14,040.6 = about $313Mil USDT 29,964,253 USDC 39,719,839 so besides TRX, the total amount of other collateral is $383Mil for a stablecoin that has a mk cap of $724Mil. Now let`s say TRX drops to the Covid level of $0.0072, which is not unrealistic in my opinion. Then the TRX collateral of 10,929,535,279 coin will be worth $78,692,654. Assuming that BTC won`t go lower, then still the liquid collateral of USDD will be around $462Mil for a mk cap now of $724Mil, which will result in a huge depegging od the "stablecoin". Looking forward to read your opinion about it.
Short
by TopgOptions
3
SVB, Silvergate, Signature: 2008 Again?Hi Traders, Investors and Speculators of the Charts 📈📉 Ev here, committed to keep you updated on the latest major event that's taking the world by storm: The recent collapse of three major banks: Silicon Valley Bank $SIVB , Silvergate Capital Corporation $SI and now Signature Bank $SBNY . It has since came to light that many cryptocurrency companies had vested interest in thee bank including Coinbase, Circle and Ripple. Furthermore, over a dozen Chinese-based firms confirmed their exposure to SVB. Many other companies have since confirmed exposure including Roku ($487 million) , Etsy $ETSY , BlockFi and more. Most recently: 🛑 HSBC agreed to acquires UK branch of SVB for 1 pound . Yes, yes you read that correctly. 🛑 Just a few hours ago, signature Bank, a New York financial institution with a big real estate lending business that had recently made a play to win cryptocurrency deposits, closed its doors Sunday after regulators said that keeping the bank open could threaten the stability of the entire financial system. 🛑 It comes to light that SVB executives sold large portions of their shares earlier in February: - CEO George B. sells 11% on 27 Feb - General Counsil Michael Z. sells 19% 5 Feb - CFO Daniel B. sells 32% 27 Feb - CMO Michelle D. sells 25% 1 Feb Are we seeing some shocking similarities to the 2008 market crash? The global financial crisis of 2008 was caused by a complex interplay of factors, including the collapse of several major banks. Some of the notable banks that collapsed or were bailed out during the crisis: 1) Lehman Brothers: This investment bank filed for bankruptcy on September 15, 2008, after it became clear that it was heavily exposed to toxic mortgage-backed securities. 2) Bear Stearns: This investment bank was acquired by JPMorgan Chase in a government-backed bailout in March 2008, after it became clear that it was struggling to meet its financial obligations. 3) Washington Mutual: This savings and loan bank was seized by federal regulators in September 2008 and its assets were sold to JPMorgan Chase. 4) Merrill Lynch: This investment bank was acquired by Bank of America in a government-brokered deal in September 2008, after it became clear that it was heavily exposed to mortgage-backed securities. 5) Wachovia: This commercial bank was acquired by Wells Fargo in a government-brokered deal in October 2008, after it became clear that it was heavily exposed to risky mortgage assets. These are just a few of the banks that experienced significant financial difficulties during the crisis. The collapse of these institutions had a profound impact on the global economy, leading to widespread job losses, foreclosures, and economic turmoil. In case you missed the earlier updates and important facts: In the past few weeks, there have been two significant bank failures in the United States that have sent shockwaves throughout the financial world. The collapse of Silicon Valley Bank and Silvergate Bank has sparked concerns about the stability of the banking system and the future of the crypto industry. The failure of these banks highlights the fragility of the financial system and the challenges faced by institutions that operate in high-risk sectors like tech and crypto. Silicon Valley Bank ( SVB ) was closed by the FDIC on March 9 due to its heavy losses caused by the downturn in technology stocks and the U.S. Federal Reserve's aggressive plan to increase interest rates. The Federal Deposit Insurance Corporation (FDIC) is an independent agency created by the US Congress in 1933 to maintain stability and public confidence in the nation's financial system. The FDIC provides deposit insurance that guarantees the safety of deposits in member banks, up to a certain limit. In the event that a member bank fails, the FDIC will step in to insure deposits, provide assistance to depositors, and liquidate the failed bank's assets. The FDIC also regulates and supervises member banks, as well as conducts research and analysis on the banking industry. Silicon Valley Bank bought bonds using customers' deposits, but the value of those investments fell as interest rates rose. This is usually not a problem for banks, but Silicon Valley Bank's customers were largely startups that needed cash. Venture capital funding was drying up, and companies were tapping their existing funds deposited with Silicon Valley Bank, which was at the center of the tech startup universe. In response to this liquidity crisis, SVB sold a $21bn bond portfolio at a loss of $1.8 billion. The bank attempted to fill the solvency hole with a combined equity offering of $2.25bn on March 8, but the attempt failed. This is the largest failure of a financial institution in the United States since Washington Mutual collapsed more than a decade ago. The closure of SVB had an immediate effect on some startups that had ties to the bank, as they scrambled to pay their workers and feared having to pause projects or lay off employees until they could access their funds. SVB , the 16th largest bank in the US, had assets of $209 billion, with more than 50% of its investments tied up in long-term securities, including exposure to the Silicon Valley tech and health startup world. The bank's sudden collapse has raised questions about its risk management practices, and the impact of its closure on its clients, who are largely startups and wealthy tech workers. The bank's large uninsured deposits and exposure to high-risk sectors like tech and crypto contributed to its downfall. But SVB isn't the only one... Silvergate Bank, which has been a significant player in the crypto world, has announced that it is closing and returning deposits. The bank's holding company, Silvergate Capital Corporation, stated that the decision was made "in light of recent industry and regulatory developments." The closure follows the loss of one billion dollars in a quarter after customers withdrew $8.1 billion, and a subsequent filing in March revealing even worse financials. The closure of Silvergate Bank is concerning for the crypto industry, as it may lead to companies turning to less regulated institutions for their banking needs, potentially making the space even riskier. Coinbase, Crypto.com, and Paxos have already started moving away from the bank. The collapse of the bank will likely draw scrutiny from lawmakers who are concerned about the crypto contagion affecting the traditional financial sector. The Silvergate Exchange Network, which allowed crypto exchanges like Coinbase, Gemini, and Kraken to move money between themselves and other institutions, has also been shut down. The bank's financial struggles have been ongoing for some time, with some of its high-profile clients like FTX and Genesis also experiencing challenges. Silvergate's collapse raises concerns about the future of the crypto industry, as companies may turn to less regulated institutions for their banking needs, potentially making the space even riskier for everyone involved. The bank's failure is also likely to draw scrutiny from lawmakers concerned about the potential contagion of the crypto industry on the traditional financial sector. Late Friday night Coinbase, a popular cryptocurrency exchange, announced that it would suspend conversions for the USDC stablecoin. This led to a rush of people trying to sell their USDC holdings, causing it to depeg from its value of $1 and trade as low as $0.87 before recovering to $0.92. Another stablecoin, Dai, also depegged and experienced a high volume of trading. Stablecoins are important in the cryptocurrency market as they provide a way for traders to move funds between different exchanges or cryptocurrencies without having to convert back to fiat currency. They are also used as a store of value by some cryptocurrency investors who prefer a more stable asset compared to the volatility of Bitcoin or other cryptocurrencies. If stablecoins depeg permanently, it could lead to a loss of confidence in their stability and reliability. This could potentially cause a sell-off of stablecoins and a shift towards other assets perceived as more stable, such as traditional fiat currencies. But before we panic too hard and FUD out, it's important to note that the impact of this crisis on cryptocurrencies such as alts and Bitcoin would depend on the severity and duration of the stablecoin depegging event, as well as other market factors such as investor sentiment and regulatory actions. In the past, there have been instances of stablecoins temporarily depegging from their underlying assets without significant impact on the broader cryptocurrency market. One notable example of a stablecoin depegging in the past is the case of Tether (USDT) in 2018. Tether is a stablecoin that is pegged to the value of the US dollar , with each USDT token representing one US dollar . In October 2018, Tether's price dropped below the $1 peg on several cryptocurrency exchanges, leading to concerns about the stability of the stablecoin. The depegging was attributed to a variety of factors, including regulatory pressures, concerns about Tether's reserves, and a general market downturn. The depegging led to a sell-off of Tether and a shift towards other stablecoins such as USD Coin ( USDC ) and TrueUSD (TUSD), which saw increased demand as traders and investors sought more reliable alternatives. Despite the depegging of Tether, the broader cryptocurrency market did not experience a significant impact, with Bitcoin and other cryptocurrencies largely unaffected. However, the incident highlighted the potential risks and uncertainties associated with stablecoins and their reliance on centralized institutions to maintain their pegs. In terms of price action for the immediate term, the Tether (USDT) depegging event in 2018 did have some impact on the cryptocurrency market prices, although the impact was relatively limited and short-lived. Following the depegging of USDT, there was a brief sell-off of Tether and a shift towards other stablecoins such as USD Coin ( USDC ) and TrueUSD (TUSD). This led to increased demand for these stablecoins, which helped to maintain their pegs to the US dollar . However, the broader cryptocurrency market, including Bitcoin , was largely unaffected by the Tether depegging. While there was some initial volatility and uncertainty, the market quickly stabilized and resumed its upward trend. 💭 Share your thoughts in the comment section and stay tuned! _______________________ 📢Follow us here on TradingView for daily updates and trade ideas on crypto , stocks and commodities 💎Hit like & Follow 👍 We thank you for your support ! CryptoCheck
SShort
by Crypto-Check-
29
SVB, Silvergate Collapse & Affect on CryptomarketHi Traders, Investors and Speculators of the Charts 📈📉 Ev here. Been trading crypto since 2017 and later got into stocks. I have 3 board exams on financial markets and studied economics from a top tier university for a year. In a twist of events, an incident that happened within the banking realm created chaos for the crypto realm. I bet you didn't have that on your bingo cards for 2023... In the past few weeks, there have been two significant bank failures in the United States that have sent shockwaves throughout the financial world. The collapse of Silicon Valley Bank and Silvergate Bank has sparked concerns about the stability of the banking system and the future of the crypto industry. The failure of these banks highlights the fragility of the financial system and the challenges faced by institutions that operate in high-risk sectors like tech and crypto. Silicon Valley Bank ( SVB ) was closed by the FDIC on March 9 due to its heavy losses caused by the downturn in technology stocks and the U.S. Federal Reserve's aggressive plan to increase interest rates. The Federal Deposit Insurance Corporation (FDIC) is an independent agency created by the US Congress in 1933 to maintain stability and public confidence in the nation's financial system. The FDIC provides deposit insurance that guarantees the safety of deposits in member banks, up to a certain limit. In the event that a member bank fails, the FDIC will step in to insure deposits, provide assistance to depositors, and liquidate the failed bank's assets. The FDIC also regulates and supervises member banks, as well as conducts research and analysis on the banking industry. Silicon Valley Bank bought bonds using customers' deposits, but the value of those investments fell as interest rates rose. This is usually not a problem for banks, but Silicon Valley Bank's customers were largely startups that needed cash. Venture capital funding was drying up, and companies were tapping their existing funds deposited with Silicon Valley Bank, which was at the center of the tech startup universe. In response to this liquidity crisis, SVB sold a $21bn bond portfolio at a loss of $1.8 billion. The bank attempted to fill the solvency hole with a combined equity offering of $2.25bn on March 8, but the attempt failed. This is the largest failure of a financial institution in the United States since Washington Mutual collapsed more than a decade ago. The closure of SVB had an immediate effect on some startups that had ties to the bank, as they scrambled to pay their workers and feared having to pause projects or lay off employees until they could access their funds. SVB , the 16th largest bank in the US, had assets of $209 billion, with more than 50% of its investments tied up in long-term securities, including exposure to the Silicon Valley tech and health startup world. The bank's sudden collapse has raised questions about its risk management practices, and the impact of its closure on its clients, who are largely startups and wealthy tech workers. The bank's large uninsured deposits and exposure to high-risk sectors like tech and crypto contributed to its downfall. But SVB isn't the only one... Silvergate Bank, which has been a significant player in the crypto world, has announced that it is closing and returning deposits. The bank's holding company, Silvergate Capital Corporation, stated that the decision was made "in light of recent industry and regulatory developments." The closure follows the loss of one billion dollars in a quarter after customers withdrew $8.1 billion, and a subsequent filing in March revealing even worse financials. The closure of Silvergate Bank is concerning for the crypto industry, as it may lead to companies turning to less regulated institutions for their banking needs, potentially making the space even riskier. Coinbase, Crypto.com, and Paxos have already started moving away from the bank. The collapse of the bank will likely draw scrutiny from lawmakers who are concerned about the crypto contagion affecting the traditional financial sector. The Silvergate Exchange Network, which allowed crypto exchanges like Coinbase, Gemini, and Kraken to move money between themselves and other institutions, has also been shut down. The bank's financial struggles have been ongoing for some time, with some of its high-profile clients like FTX and Genesis also experiencing challenges. Silvergate's collapse raises concerns about the future of the crypto industry, as companies may turn to less regulated institutions for their banking needs, potentially making the space even riskier for everyone involved. The bank's failure is also likely to draw scrutiny from lawmakers concerned about the potential contagion of the crypto industry on the traditional financial sector. Late Friday night Coinbase, a popular cryptocurrency exchange, announced that it would suspend conversions for the USDC stablecoin. This led to a rush of people trying to sell their USDC holdings, causing it to depeg from its value of $1 and trade as low as $0.87 before recovering to $0.92. Another stablecoin, Dai, also depegged and experienced a high volume of trading. Stablecoins are important in the cryptocurrency market as they provide a way for traders to move funds between different exchanges or cryptocurrencies without having to convert back to fiat currency. They are also used as a store of value by some cryptocurrency investors who prefer a more stable asset compared to the volatility of Bitcoin or other cryptocurrencies. If stablecoins depeg permanently, it could lead to a loss of confidence in their stability and reliability. This could potentially cause a sell-off of stablecoins and a shift towards other assets perceived as more stable, such as traditional fiat currencies. But before we panic too hard and FUD out, it's important to note that the impact of this crisis on cryptocurrencies such as alts and Bitcoin would depend on the severity and duration of the stablecoin depegging event, as well as other market factors such as investor sentiment and regulatory actions. In the past, there have been instances of stablecoins temporarily depegging from their underlying assets without significant impact on the broader cryptocurrency market. One notable example of a stablecoin depegging in the past is the case of Tether (USDT) in 2018. Tether is a stablecoin that is pegged to the value of the US dollar , with each USDT token representing one US dollar . In October 2018, Tether's price dropped below the $1 peg on several cryptocurrency exchanges, leading to concerns about the stability of the stablecoin. The depegging was attributed to a variety of factors, including regulatory pressures, concerns about Tether's reserves, and a general market downturn. The depegging led to a sell-off of Tether and a shift towards other stablecoins such as USD Coin ( USDC ) and TrueUSD (TUSD), which saw increased demand as traders and investors sought more reliable alternatives. Despite the depegging of Tether, the broader cryptocurrency market did not experience a significant impact, with Bitcoin and other cryptocurrencies largely unaffected. However, the incident highlighted the potential risks and uncertainties associated with stablecoins and their reliance on centralized institutions to maintain their pegs. In terms of price action for the immediate term, the Tether (USDT) depegging event in 2018 did have some impact on the cryptocurrency market prices, although the impact was relatively limited and short-lived. Following the depegging of USDT, there was a brief sell-off of Tether and a shift towards other stablecoins such as USD Coin ( USDC ) and TrueUSD (TUSD). This led to increased demand for these stablecoins, which helped to maintain their pegs to the US dollar . However, the broader cryptocurrency market, including Bitcoin , was largely unaffected by the Tether depegging. While there was some initial volatility and uncertainty, the market quickly stabilized and resumed its upward trend. 💭The collapse of Silicon Valley Bank is the second-largest bank default in U.S. history and puts the golden trifecta rule of banking (liquidity, solvency, and profitability) into review. This failure reminds us of the unintended consequences of unorthodox monetary policies, pandemic remediation measures, excessive leverage, and democracy eroding rulings. SVB had significant exposure to long-term securities and the Silicon Valley tech and health startup world. The bank's uninsured deposits pose a problem but insured deposits will be available as soon as Monday. The collapse of Silicon Valley Bank and Silvergate Bank underscores the need for stricter regulatory frameworks and tighter risk management practices in the financial industry. The failures also highlight the importance of diversification and risk mitigation strategies for banks and their clients. As the financial industry continues to evolve, it is essential that institutions keep pace with the changes and adapt their practices to ensure their stability and resilience in the face of future challenges. _______________________ 📢Follow us here on TradingView for daily updates and trade ideas on crypto , stocks and commodities 💎Hit like & Follow 👍 We thank you for your support ! CryptoCheck
SShort
by Crypto-Check-
12
Stablecoins Depeg: Twist of Events, Banking CrisisHi Traders, Investors and Speculators of the Charts 📈📉 Ev here. Been trading crypto since 2017 and later got into stocks. I have 3 board exams on financial markets and studied economics from a top tier university for a year. In a twist of events, an incident that happened within the banking realm created chaos for the crypto realm. I bet you didn't have that on your bingo cards for 2023... In the past few weeks, there have been two significant bank failures in the United States that have sent shockwaves throughout the financial world. The collapse of Silicon Valley Bank and Silvergate Bank has sparked concerns about the stability of the banking system and the future of the crypto industry. The failure of these banks highlights the fragility of the financial system and the challenges faced by institutions that operate in high-risk sectors like tech and crypto. Silicon Valley Bank (SVB) was closed by the FDIC on March 9 due to its heavy losses caused by the downturn in technology stocks and the U.S. Federal Reserve's aggressive plan to increase interest rates. The Federal Deposit Insurance Corporation (FDIC) is an independent agency created by the US Congress in 1933 to maintain stability and public confidence in the nation's financial system. The FDIC provides deposit insurance that guarantees the safety of deposits in member banks, up to a certain limit. In the event that a member bank fails, the FDIC will step in to insure deposits, provide assistance to depositors, and liquidate the failed bank's assets. The FDIC also regulates and supervises member banks, as well as conducts research and analysis on the banking industry. Silicon Valley Bank bought bonds using customers' deposits, but the value of those investments fell as interest rates rose. This is usually not a problem for banks, but Silicon Valley Bank's customers were largely startups that needed cash. Venture capital funding was drying up, and companies were tapping their existing funds deposited with Silicon Valley Bank, which was at the center of the tech startup universe. In response to this liquidity crisis, SVB sold a $21bn bond portfolio at a loss of $1.8 billion . The bank attempted to fill the solvency hole with a combined equity offering of $2.25bn on March 8, but the attempt failed. This is the largest failure of a financial institution in the United States since Washington Mutual collapsed more than a decade ago. The closure of SVB had an immediate effect on some startups that had ties to the bank, as they scrambled to pay their workers and feared having to pause projects or lay off employees until they could access their funds. SVB, the 16th largest bank in the US, had assets of $209 billion, with more than 50% of its investments tied up in long-term securities, including exposure to the Silicon Valley tech and health startup world. The bank's sudden collapse has raised questions about its risk management practices, and the impact of its closure on its clients, who are largely startups and wealthy tech workers. The bank's large uninsured deposits and exposure to high-risk sectors like tech and crypto contributed to its downfall. But SVB isn't the only one... Silvergate Bank, which has been a significant player in the crypto world, has announced that it is closing and returning deposits. The bank's holding company, Silvergate Capital Corporation, stated that the decision was made "in light of recent industry and regulatory developments." The closure follows the loss of one billion dollars in a quarter after customers withdrew $8.1 billion, and a subsequent filing in March revealing even worse financials. The closure of Silvergate Bank is concerning for the crypto industry, as it may lead to companies turning to less regulated institutions for their banking needs, potentially making the space even riskier. Coinbase, Crypto.com, and Paxos have already started moving away from the bank. The collapse of the bank will likely draw scrutiny from lawmakers who are concerned about the crypto contagion affecting the traditional financial sector. The Silvergate Exchange Network, which allowed crypto exchanges like Coinbase, Gemini, and Kraken to move money between themselves and other institutions, has also been shut down. The bank's financial struggles have been ongoing for some time, with some of its high-profile clients like FTX and Genesis also experiencing challenges. Silvergate's collapse raises concerns about the future of the crypto industry, as companies may turn to less regulated institutions for their banking needs, potentially making the space even riskier for everyone involved. The bank's failure is also likely to draw scrutiny from lawmakers concerned about the potential contagion of the crypto industry on the traditional financial sector. Late Friday night Coinbase, a popular cryptocurrency exchange, announced that it would suspend conversions for the USDC stablecoin. This led to a rush of people trying to sell their USDC holdings, causing it to depeg from its value of $1 and trade as low as $0.87 before recovering to $0.92. Another stablecoin, Dai, also depegged and experienced a high volume of trading. Stablecoins are important in the cryptocurrency market as they provide a way for traders to move funds between different exchanges or cryptocurrencies without having to convert back to fiat currency. They are also used as a store of value by some cryptocurrency investors who prefer a more stable asset compared to the volatility of Bitcoin or other cryptocurrencies. If stablecoins depeg permanently, it could lead to a loss of confidence in their stability and reliability. This could potentially cause a sell-off of stablecoins and a shift towards other assets perceived as more stable, such as traditional fiat currencies. But before we panic too hard and FUD out, it's important to note that the impact of this crisis on cryptocurrencies such as alts and Bitcoin would depend on the severity and duration of the stablecoin depegging event, as well as other market factors such as investor sentiment and regulatory actions. In the past, there have been instances of stablecoins temporarily depegging from their underlying assets without significant impact on the broader cryptocurrency market. One notable example of a stablecoin depegging in the past is the case of Tether (USDT) in 2018. Tether is a stablecoin that is pegged to the value of the US dollar, with each USDT token representing one US dollar. In October 2018, Tether's price dropped below the $1 peg on several cryptocurrency exchanges, leading to concerns about the stability of the stablecoin. The depegging was attributed to a variety of factors, including regulatory pressures, concerns about Tether's reserves, and a general market downturn. The depegging led to a sell-off of Tether and a shift towards other stablecoins such as USD Coin (USDC) and TrueUSD (TUSD), which saw increased demand as traders and investors sought more reliable alternatives. Despite the depegging of Tether, the broader cryptocurrency market did not experience a significant impact, with Bitcoin and other cryptocurrencies largely unaffected. However, the incident highlighted the potential risks and uncertainties associated with stablecoins and their reliance on centralized institutions to maintain their pegs. In terms of price action for the immediate term, the Tether (USDT) depegging event in 2018 did have some impact on the cryptocurrency market prices, although the impact was relatively limited and short-lived. Following the depegging of USDT, there was a brief sell-off of Tether and a shift towards other stablecoins such as USD Coin (USDC) and TrueUSD (TUSD). This led to increased demand for these stablecoins, which helped to maintain their pegs to the US dollar. However, the broader cryptocurrency market, including Bitcoin, was largely unaffected by the Tether depegging. While there was some initial volatility and uncertainty, the market quickly stabilized and resumed its upward trend. 💭The collapse of Silicon Valley Bank is the second-largest bank default in U.S. history and puts the golden trifecta rule of banking (liquidity, solvency, and profitability) into review. This failure reminds us of the unintended consequences of unorthodox monetary policies, pandemic remediation measures, excessive leverage, and democracy eroding rulings. SVB had significant exposure to long-term securities and the Silicon Valley tech and health startup world. The bank's uninsured deposits pose a problem but insured deposits will be available as soon as Monday. The collapse of Silicon Valley Bank and Silvergate Bank underscores the need for stricter regulatory frameworks and tighter risk management practices in the financial industry. The failures also highlight the importance of diversification and risk mitigation strategies for banks and their clients. As the financial industry continues to evolve, it is essential that institutions keep pace with the changes and adapt their practices to ensure their stability and resilience in the face of future challenges. _______________________ 📢Follow us here on TradingView for daily updates and trade ideas on crypto , stocks and commodities 💎Hit like & Follow 👍 We thank you for your support ! CryptoCheck
G
by Crypto-Check-
28
Binance introduces USDC/USDT pair to help Circle CollapseAfter Luna`s stablecoin collapse, UST: Now Binance, the biggest crypto exchange, recently introduced the USDC/USDT pair, and now it`s users are able to transform their USDC into Tether. And let`s be honest, who wouldn`t to that amid this market uncertainty?! On Saturday, the USD Coin (USDC) stablecoin experienced a drop in value below its dollar peg and reached a historical low. However, it later recuperated most of the losses after Circle, the company in charge of it, provided reassurance to investors that they would uphold the peg despite their connection to the struggling Silicon Valley Bank. Circle stated in a tweet on Friday that $3.3 billion of their $40 billion in USDC reserves are held in Silicon Valley Bank!! I think CZ listed this USDC/USDT pair on purpose, to generate a bank run out of its rival Circle, while they don`t have access to the full USDC liquidity. Watch out for those Top 5 investors in Circle as well: 1. Goldman Sachs: Goldman Sachs was one of the earliest investors in Circle, participating in a $50 million funding round for the company back in 2015. Since then, the investment bank has continued to support Circle, participating in subsequent funding rounds and helping to promote the adoption of Circle's products. 2. Digital Currency Group: Digital Currency Group is a venture capital firm focused on investing in companies in the cryptocurrency and blockchain space. The firm has invested in numerous companies in the industry, including Circle. Digital Currency Group participated in a $110 million funding round for Circle in 2018, and has continued to support the company since then. 3. Breyer Capital: Breyer Capital is a venture capital firm founded by Jim Breyer, a prominent investor in the technology industry. Breyer Capital has invested in a number of successful technology companies, including Facebook and Spotify. The firm participated in a $50 million funding round for Circle in 2015. 4. Accel: Accel is a global venture capital firm that has invested in numerous successful technology companies over the years, including Facebook, Dropbox, and Slack. Accel participated in a $60 million funding round for Circle in 2016. 5. Pantera Capital: Pantera Capital is a hedge fund focused on investing in cryptocurrencies and blockchain technology. The firm has invested in numerous companies in the industry, including Circle. Pantera Capital participated in a $50 million funding round for Circle in 2015, and has continued to support the company since then. Looking forward to read your opinion about it!
Short
by TopgOptions
USDC De-peg could Crash DAI, USDD, & FraxI want to share my thoughts on the current situation with stablecoins, specifically USDC, DAI, and FRAX. It is my belief that if USDC were to collapse, DAI and FRAX would follow suit, causing a significant crash in the entire crypto market. Recent developments support this concern. Binance has paused the automatic conversion of USDC to BUSD due to high inflows and the increasing burden of conversion support. Additionally, Circle has burned over $1.6 billion USDC in cash over the past few hours, resulting in a decrease in the total supply of USDC from 43.55 billion to 42.3 billion, down $1.2 billion in just a few hours. Up to 25% of all USDC is uninsured in the SiVB (Silicon Valley Bank) collapse, only $250,000 is guaranteed recoverable. FDIC assumed receivership of the banks $197 BN remaining assets. 50% of all start ups in the US are said to have some exposure to SiVB, either directly or indirectly. Circle group is facing potential bankruptcy if the run on USDC is not staved off.... Furthermore, only Tether is currently above a dollar, with only five of the 13 stablecoins trading at 99 cents USD. Even FRAX, which is backed by USDC, is currently trading at 0.92 USD. The general concern for all stablecoins may prompt investors to move their funds into BTC/ETH, causing a significant shift in the market. As always, it is important to stay informed and monitor the situation closely. Stay safe and make informed decisions.
GEMINI:USDCUSD
by BIG-BLACK-CRYPTO