The price of Bitcoin has bounced upwards as First Republic Bank deposit slump sparks fresh banking crisis fears in the United States.
The price of Bitcoin (BTC) spiked more than 3% in the last 24 hours as fears were sparked of another possible imminent bank failure as First Republic Bank (FRC) shares closed down more than 50% on April 25.
According to the head of research at Australian crypto education platform Collective Shift, the price of Bitcoin rallied immediately following Fox News Business reporter Charles Gasperino breaking the news that bankers working with First Republic Bank expect the institution to go into government receivership.
Receivership is a tactic allowing creditors to recover funds that are experiencing a potential default and assists troubled firms in avoiding bankruptcy.
Data from crypto analytics firm Santiment suggested the correlation between Bitcoin and the S&P 500 may be dwindling as the narrative that Bitcoin is a safe haven amid the banking crisis began to once again gather steam.
First Republic began experiencing issues in early March, which led to 11 of the largest banking institutions in the United States, including J.P. Morgan and Bank of America Corp., depositing $30 billion at the troubled bank.
Source : [Bitcoin price jumps in the wake of First Republic Bank price crash](cointelegraph.com/news/bitcoin-price-jumps-in-the-wake-of-first-republic-bank-crash) by Cointelegraph By Tom Mitchelhill - Bitcoin First Bank•68Cointelegraph by Cointelegraph By Tom Mitchelhill / April 26, 2023