The value of major cryptocurrencies rose Monday in the wake of U.S. government plans to protect Silicon Valley Bank and Signature Bank depositors.
The Federal Reserve issued a pair of statements on Sunday with one clear message: Silicon Valley Bank’s depositors, both insured and uninsured, will receive help in a manner that will “fully protect” their deposits.
The risk of a banking contagion was lower at the start of the week than last Friday, but not zero.
Following a rally in the price of bitcoin and other crypto assets, the overall crypto market surpassed $1 trillion in value on Monday, up about 14% day over day.
In the past 24 hours, bitcoin rose 18.4% to over $24,000, while ether rose 15% to about $1,700, CoinMarketCap data showed. The two cryptocurrencies, which are the largest by market capitalization, are trading in parallel with one another.
Image Credits: CoinMarketCap (opens in a new window)
USDC, the second largest stablecoin, also recovered about 4% in the past 24 hours following the news that deposits would be protected, CoinMarketCap data showed.
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