• InvestAnswers believes the current state of the banking industry is beneficial for Bitcoin, causing a surge in new traders.
• Individuals are investing fiat dollars into BTC due to fears about the security of their own currency.
• Bitcoin experienced a meteoric climb when US banks collapsed, reaching a high of $26,000 on March 14th.
Banking Breakdown Good for Bitcoin
InvestAnswers believes that the banking breakdown is good for bitcoin, resulting in an influx of traders coming into the BTC market. Analysts believe that individuals are investing fiat dollars into bitcoin due to worries about the security of their own currency and as a result, there has been a surge in activity in this area.
2008 Financial Crisis
Those who have gone through the Great Recession from 2008 understand how detrimental it was to have money held within banks and many perceive bitcoin as a safer location to invest because of its decentralized nature. Many investors who have been around for some time are familiar with bitcoin but those who haven’t experienced the financial crisis may need to fully understand why it is so important now more than ever before.
Bitcoin’s Meteoric Climb
Since the banking crisis began, Bitcoin has seen meteoric growth and recently broke over $26,000 on March 14th after falling back down to $19,000 just one week prior. This incredible increase shows how many people believe that putting money into cryptocurrency offers greater protection compared to traditional banking methods.
New Time Purchasers
InvestorAnswers noted that they had calls from people who were new-time purchasers wanting to get involved with bitcoin which speaks volumes about how trusted this method is becoming amongst investors looking for stability during uncertain times like these.
Conclusion
The current situation in the banking sector appears to be driving investors towards Bitcoin which can only be seen as positive given its decentralized nature and increasing levels of trustworthiness amongst users worldwide.
