Bitcoin Rallies Amid Banking Crisis

    Photo: Yahoo Finance

    The Facts

    • As traditional stocks and bonds are in freefall amid the ongoing banking crisis, Bitcoin has surged in value this month — rising 21% compared to the S&P’s 1.4% loss.

    • Cryptocurrency prices rose slightly on Tuesday as investors braced for the conclusion of the Federal Reserve’s two-day policy meeting on Wednesday. After slipping below the $28K level Monday, Bitcoin rose 1.3% to $28,240 while Ether advanced 2.4% to $1,799.


    The Spin

    Narrative A

    As the global banking sector descends into chaos, cryptocurrencies, especially Bitcoin, have acted as a safe haven for investors. Mainstream media outlets and traditional finance entities have tried to scapegoat crypto as the root of economic problems, but policy mistakes by the Fed and legislators are the real issues. Cryptocurrency is the solution to many problems, not the cause.

    Narrative B

    Investors are looking for reassurance as several major banks are collapsing, but cryptocurrency is not a safe place to put your money. Cryptocurrency is still immensely volatile, and platforms fail regularly. Also, cryptocurrency does not have the same protections as traditional banking and stocks, making it even riskier. Overall, cryptocurrency is not a wise investment amid financial uncertainty.


    Articles on this story

    Sign up to our daily newsletter