Quote from: o48o on Today at 06:58:09 PM

Quote from: itscoldice on Today at 03:57:55 PM

Some people say it's not gonna affect bitcoin price because the fallen banks were only bitcoin supports. But USDC was also having big stash of cash in these banks.
I am still looking for a clear idea of what it's really gonna be

Regulators already promised to bail out customers. So it's not going to affect anything. Except panic sales all over the board that could technically unpeg the coin a lot temporarily. Also there's a problem if enough people cash out fast, because the possible lack of reserves. That would be a bigger problem.

https://edition.cnn.com/2023/03/12/investing/svb-customer-bailout/index.html

The customers aren't the issue that I'm concerned of because the FDIC already would have insured up to 250k of deposits to begin with as per their own guarantee. What about the uninsured creditors? Their money is completely gone and there isn't any indication that they'll have remedy with the federal government (not that I think they should). The issue this creates is that there's a lot of companies out there that don't have liquidity who need it.

If the economy's in major stagnation, so is Bitcoin.

The immediate price increase of BTC over the last few days is a response to the banking crisis and people not knowing where to put their funds I'd imagine. But long term the consequences are negative for the overall economy.