- Bitcoin rebounds after U.S. Federal Reserve rate hike.
- Bank failures play a larger role in dictating the price of bitcoin rather than interest rates.
Bitcoin Recovers From Post Rate Hike Dip
Bitcoin is slowly recovering after the U.S. Federal Reserve raised interest rates by 25 basis points. Initially, bitcoin was down 1% after the rate hike, but it has since recovered by 1.3% to $29,115. Banrion Capital’s Chief Strategist, Victoria Bills, points to the ongoing banking crisis in the U.S. as another driver of crypto prices that counterbalances the Fed’s ongoing interest rate hikes. Bills said in the latest ETHNews interview:
As panic and market reactivity increase, perceptions of failure within the banking sector could lead to the ongoing turmoil in regional banks.
Bank Failures Are Playing a Larger Role in Dictating the Price of Bitcoin
The current banking crisis in the U.S. is a “vindication for the crypto ecosystem” according to J.P Morgan. The report noted that the crisis “exposed the weaknesses of the traditional financial system given bank’s maturity mismatch is susceptible to bank runs.” Analysts are arguing that this crisis is driving more interest towards crypto, as panic and market reactivity increase.
Mad Lads Was a Bright Spot for Solana NFTs, but Transaction Volume is Still Lagging The MadLads NFT collection managed to “break the internet” in April with its sought-after JPEGs on the blockchain, yet Solana’s weekly NFT volume is in the red, compared to Ethereum, which remains well in the green.
Data from CryptoSlam shows that over the past week, the number of sales on Solana is down 52.7%, while the number of transactions is down 16%. Meanwhile, Ethereum’s metrics are up across the board. Data from Nansen shows that the volume from Madlads has been declining slowly but steadily over the last month.
Despite the wind coming out of the sails of Solana NFT collections, the price of SOL hasn’t moved that much, only down 2% over the last month and currently trading at over $22, according to market data.