• The BTC/USD is trading at 27,908, up by 2.50% in 24 hours.
• Global banking sector faced significant pressure as Swiss banking giant UBS agreed to acquire its financially troubled rival Credit Suisse.
• Speculation that the Fed will raise interest rates has resulted in the US dollar’s rise and Bitcoin may climb toward $29,250 or even $30,700.
Global Banking Crisis
The global banking sector faced significant pressure as Swiss banking giant UBS agreed to acquire its financially troubled rival Credit Suisse in a forced $3.2 billion transaction arranged by the Swiss government. This move is among the latest efforts by governments worldwide to control the crisis that threatens the banking industry.Additionally, several central banks, including the Federal Reserve, BoE, and ECB, announced coordinated action on Sunday to boost liquidity in their existing US dollar swap deals. The goal was to make it easier to access US dollar liquidity during times of crisis, but several banking stocks plummeted afterward.
Bitcoin Price Surge
In contrast, Bitcoin has performed exceptionally well, especially after the collapse of major banks earlier this month. As a result of the banking turmoil, Bitcoin has surged and led enthusiasts to promote it as a safe-haven asset and digital gold. BTC/USD has reached a nine-month high as investors consider bank concerns with Bitcoin outperforming major bank stocks that have continued to decline.
US Federal Interest Rate Decision
Investors await Federal Reserve’s interest rate decision with Bitcoin losing momentum as they prepared to defend themselves before Fed’s decision on interest rates were made public. Now that Fed has decided to raise interest rates investors are once again turning their attention towards inflation which resulted in US Dollar Index increasing by 0.14 percent to 103.40 capping BTC/USD pair from further rising up towards resistance levels like $27750 or even higher values like $29250 or $30700
BTC/USD pair is currently consolidating around the $27500 level if bullish trend continues Bitcoin may climb towards mentioned resistance levels but if support levels at $26700 or $25200 are broken then next support level would be at $23150
As global banks face turbulence due to financial crises across Europe and America investors look for safe-haven assets such as digital gold (Bitcoin) while keeping an eye out for Federal Reserve’s decision on interest rates so they could adjust accordingly if needed . With current price of BTC/USD being around 27900 there is possibility of it reaching higher resistance levels with proper market conditions otherwise support levels needs protecting from breaking down otherwise prices can drop lower than expected .