Bitcoin and other cryptocurrencies rallied on Friday, just as tech-friendly bank Silicon Valley Bank’s former parent company filed for Chapter 11 bankruptcy and stocks dipped amid fears of a banking crisis.
The biggest digital asset by market cap pushed past $27,000 Friday morning Eastern Time. At the time of writing it had dropped to $26,555—a 6.2% 24-hour jump. It is up over 30% in the past week.
Meanwhile, Ethereum, the second-largest cryptocurrency by market cap, was trading for $1,727, up 4% in the past day—and more than 20% in seven days.
But the stock market isn’t moving in tandem—a shift from the correlation that investors and traders have grown accustomed to in recent years. U.S. equities and bank shares today slid as spooked investors pulled back from their positions due to fears of a potential banking crisis.
Regulators shut Silicon Valley Bank (SVB) last week, sending shockwaves through the financial system.
A number of crypto companies admitted exposure to the firm, which had positioned itself as the tech startup world’s favorite bank. SVB’s former…
