Silvergate Drama Could Push BTC’s Price Down to $19.5K Level

Last Updated:
Silvergate Drama Could Push BTC’s Price Down to $19.5K Level
  • Santiment tweeted that BTC’s recent price drop was likely caused by Silvergate’s share price plummeting.
  • Many crypto businesses have terminated their relationship with the bank due to its share price drop.
  • Experts warn that BTC’s price could drop to as low as $19.5K if it fails to stay above $22.3K.

The blockchain analytics firm, Santiment (@santimentfeed), tweeted this morning that the price drop of the crypto market leader, Bitcoin (BTC), was likely caused by the recent Silvergate share price collapse.

In their latest Insights report, Santiment mentioned how BTC’s price was able to break above $25,000 for the first time in 8 months. However, since then, the crypto’s price has been fluctuating – dropping as low as $21,000 in the weeks that followed.

According to the report, analysts forecast that BTC’s price will continue to fall in the coming weeks, and have set a downside target for the market leader at $19,500 given the current financial and crypto market landscape.

The Insights added that BTC’s price experienced a sudden drop from $23,435 to $22,259 on March 3, within an hour as the share price of the preferred banking partner for cryptos, Silvergate Bank, plummeted 60% due to concerns related to the company’s sustainability over the next 12 months.

As a result, crypto companies have terminated their relationship with the bank. Given the current pressure that Silvergate Bank is receiving from the market, and the current market standing of the crypto market, traders and investors may want to brace for a steep drop in BTC’s price in the coming weeks.

The report also mentioned that analysts warn that BTC’s price could drop to the $19,500 level should the market leader’s price fail to remain above the $22.3K range.

Disclaimer: The views and opinions, as well as all the information shared in this price analysis, are published in good faith. Readers must do their own research and due diligence. Any action taken by the reader is strictly at their own risk. Coin Edition and its affiliates will not be held liable for any direct or indirect damage or loss.

Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.