The global crypto market is bracing for a risky event as another U.S.-based bank. is waiting for help from the government due to fears of a catastrophic banking collapse.Bitcoin (BTC), the world's largest crypto, recorded a surge as investors sought safety measures in their investments.
Based on recent reports, U.S. officials is in urgent talks to rescue First Republic Bank as it approaches bankruptcy. The development came as attempts by private sector companies led by bank advisers failed to break the deal.
The Federal Deposit Insurance Corporation (FDIC), the Department of the Treasury and the Federal Reserve is reported to be the agency leading negotiations to save the financial company over the past few days. It added that the government's efforts helped get more parties including banks and some equity firms.
Shares of First Republic Bank (NYSE: FRC ) posted a jump in pre-market after reports of a possible bailout led by U.S. officials. triggered. Its share price jumped more than 6% before the market. The price is around $6.19. However, the First Republic Bank Share price has fallen by 50% in the last 5 days.
Bitcoin made a big comeback when banks like Silicon Valley Bank (SVB) and Silvergate collapsed. The price of Bitcoin is up by 25% over the past 60 days. The market cap of BTC which was about $385 billion on March 10, 2023, went on to peak at $594 billion on April 14, 2023.
BTC price is currently trading at a trading level of $28,993.98 as of writing. Market players remain attentive to the prevailing economic sentiment.
