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Why Russell Index the most Reflective for Bank Run Crisis?Russell represents the true economy of United States. There are 2,000 medium size companies with each value between $300m to $2b. The index includes a diverse range of companies from various sectors, including financials, healthcare, consumer goods, industrials, and technology. In my opinion Russell represents the true economy of united states. If the bank run crisis deepens, it is possible that 2,000 companies will not hold up well. The reasons for this are stated in the video. This could affect the other major indices, with the Russell 2000 potentially leading the pack. The Russell 2000 is considered more reflective of the US economy compared to the other major indices with big names like Apple, Amazon, and Microsoft. E-mini Russell 2000 Index Futures & Option Outright: 0.10 index points = $5.00 Micro E-mini Russell 2000 Index Futures Outright: 0.10 index points = $0.50 Micro E-mini S&P 500 Index Futures & Option Outright: 0.25 index points = $1.25 Micro E-mini Nasdaq Index Futures & Option Outright: 0.25 index points = $0.50 Micro E-mini Dow Jones Industrial Average Index Futures Outright: 1.0 index points = $0.50 Disclaimer: • What presented here is not a recommendation, please consult your licensed broker. • Our mission is to create lateral thinking skills for every investor and trader, knowing when to take a calculated risk with market uncertainty and a bolder risk when opportunity arises. CME Real-time Market Data help identify trading set-ups in real-time and express my market views. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com
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CME_MINI:RTY1!Short
by konhow
18
SI Silvergate Capital going to $0???If you haven`t sold crypto`s favorite bank, SI Silvergate, here: Then you should know that Silvergate Capital Corp, the parent company of Silvergate Bank, announced its closure and liquidation of assets on Wednesday. Shortly after, New York state banking regulators closed down Signature Bank to prevent the fallout from the failure of Silicon Valley Bank. Lawyers representing plaintiffs in a class action lawsuit by FTX customers against 18 defendants, including Signature and Silvergate, claim that these events will severely limit the amount of money they can access if they can prove the banks are responsible. Kerry Miller of Fishman Haygood, whose firm filed the lawsuit in Miami federal court, stated that FTX customers may have to rely on insurance policies covering the banks' top executives and board members since these events impose another hurdle. Haven`t seen any bidders for it, or other banks supporting SI SIlvergate. Most likely to file for bankruptcy and go to $0. Looking forward to read your opinion about it.
SShort
by TopgOptions
2
Backfiring BondsTwo financial institutions, Silvergate Capital and Silicon Valley Bank (SVB), collapsed early last week due to a series of ill-fated investment decisions which were exposed by global interest rate tightening. The collapses came after the institutions invested large amounts of capital in long-dated US government bonds, which were considered relatively low risk. However, as interest rates rose rapidly to combat spiralling inflation, bond portfolios started to lose significant value. As a result, when cash demands got high enough, Silvergate and SVB had to sell those backing assets at substantial losses. Silvergate announced a $1 billion loss on the sale of assets in the fourth quarter of last year, while SVB lost $1.8 billion. In both cases, US Treasury bonds comprised large portions of the liquidations. SVB, once the 16th largest bank in the US, then announced a $1.75bn capital raising to plug the hole caused by the sale of its bond portfolio. As one would anticipate, this news resulted in a run on the bank's reserves, and two days later, the bank collapsed, marking the largest bank failure in the US since the global financial crisis. The US government has since guaranteed all deposits of the bank's customers, which has attempted to address concerns of widespread contagion and further runs on other banks' reserves. After the collapse of these institutions, the Federal Reserve announced the Bank Term Funding Program (BTFP), which will provide banks and other depository institutions with emergency loans. However, JPMorgan has since stated this program could inject as much as $2 trillion into the American banking system, which would nullify all hope of inflationary pressures easing. All of the talk in recent years has been about protecting the banking system from crypto. However, ironically, we had a situation where a digital asset had to be protected from the banking system. The SVB debacle caused USDC to temporarily lose its peg after it was revealed that its issuer, Circle, had $3.3bn wrapped up in a SVB bank account. The stablecoin fell to as low as $0.88 over the weekend before recovering after the US government's deposit guarantee was announced. These events have highlighted an underappreciated problem with increasing interest rates to reign in inflation. The issuance of new Treasury bonds with higher yields causes the market value of existing bonds with lower yields to decrease. As a result, all banks that hold a significant amount of Treasurys as legally required collateral are vulnerable to the same risk that has affected banks like Silvergate and Silicon Valley Bank. Recently, it looked as if the contagion effects had spread to Swiss banking giant Credit Suisse when their stock began to plummet after questions were raised about the banks' stability. However, since then, the bank has secured a £44.5bn lifeline from the Swiss central bank. The importance of this should not be underestimated. Credit Suisse manages assets in the region of $1.6 trillion. If the bank collapses, it could trigger a domino effect, bringing about a 2008-like crisis. All in all, it would be ironic if increasing interest rates failed to lower inflation but instead resulted in a number of banks collapsing as a result of their bad bets on treasuries. Despite this market turmoil, yesterday, the European Central Bank stuck to its plan and went with a 50bps rate hike meaning that Credit Suisse may not be out of the woods yet. In recent weeks, the market had been pricing in a 50bps rate hike from the Fed. However, the collapse of SVB and broader risks to the financial system may lead the Fed to raise interest rates by no more than a quarter percentage point next week, with some institutions such as Barclays expecting the Fed to pause all rate increases. Despite these events, in recent days Bitcoin has significantly outperformed markets. Since the 11th of March, Bitcoin is up over 20% whilst other asset classes are up between 0-2% with 10Y US Yields down around 4%. The key reasons for this most likely come down to the dampening of US CPI data along with the decreased likelihood of future rate hikes as a consequence of the events of the past week. Ironically, while inflation and bank crisis now look more likely, the expectation of more liquidity has provided risk-on assets, such as Bitcoin, bullish momentum.
by Coinrule
Robert Kiyosaki and now Larry Fink on Credit Suisse's demiseThis 2 charts reminds me of a James Bond movie, Skyfall. There is a claim by many that, these companies are too big to fail. Oh yeah? 7th largest investment bank in the world is get steamrolled. Yesterday about 6pm Malaysia time, Credit Suisse ($CSGN) got halted due to excessive selling. Robert Kiyosaki predicts this bank will be next. Today, Larry Fink of Blackrock is echoing Rich Dad Poor Dad author. 2nd largest Swiss bank is going under real soon and this will rock Eurozone badly. On to US banks, Moody's have place 5-6 banks under watch for downgrading due to contagion following SVB, Silvergate and Signature bank's catastrophe. The pack leader is First Republic Bank ($FRC). Since last week Thurs, already down 80%. Holy moly! Others will be Western Alliance Bancorp ($WAL), Intrust Financial Corp, UMB Financial Corp ($UMBF), Zion Bancorp ($ZION) and Comerica Inc ($CMA). This year will be crazy. Will Jerome Powell finally pivot? He got 2 options, raise rates and crush the economy OR pivot and deal with rising inflation again. What I think is, you will keep printing money. Like you always do and that's all you can do, dear central banks. Stop covering up simple stuff with euphemism such as Bank Term Funding Program (BTFP) to cover up for money printing. As if Quantitative Easing is not euphemistic enough. By Sifu Steve @ XeroAcademy
C
by XeroAcademy
SVB, Silvergate, Signature: 2008 Again?Hi Traders, Investors and Speculators of the Charts 📈📉 Ev here, committed to keep you updated on the latest major event that's taking the world by storm: The recent collapse of three major banks: Silicon Valley Bank $SIVB , Silvergate Capital Corporation $SI and now Signature Bank $SBNY . It has since came to light that many cryptocurrency companies had vested interest in thee bank including Coinbase, Circle and Ripple. Furthermore, over a dozen Chinese-based firms confirmed their exposure to SVB. Many other companies have since confirmed exposure including Roku ($487 million) , Etsy $ETSY , BlockFi and more. Most recently: 🛑 HSBC agreed to acquires UK branch of SVB for 1 pound . Yes, yes you read that correctly. 🛑 Just a few hours ago, signature Bank, a New York financial institution with a big real estate lending business that had recently made a play to win cryptocurrency deposits, closed its doors Sunday after regulators said that keeping the bank open could threaten the stability of the entire financial system. 🛑 It comes to light that SVB executives sold large portions of their shares earlier in February: - CEO George B. sells 11% on 27 Feb - General Counsil Michael Z. sells 19% 5 Feb - CFO Daniel B. sells 32% 27 Feb - CMO Michelle D. sells 25% 1 Feb Are we seeing some shocking similarities to the 2008 market crash? The global financial crisis of 2008 was caused by a complex interplay of factors, including the collapse of several major banks. Some of the notable banks that collapsed or were bailed out during the crisis: 1) Lehman Brothers: This investment bank filed for bankruptcy on September 15, 2008, after it became clear that it was heavily exposed to toxic mortgage-backed securities. 2) Bear Stearns: This investment bank was acquired by JPMorgan Chase in a government-backed bailout in March 2008, after it became clear that it was struggling to meet its financial obligations. 3) Washington Mutual: This savings and loan bank was seized by federal regulators in September 2008 and its assets were sold to JPMorgan Chase. 4) Merrill Lynch: This investment bank was acquired by Bank of America in a government-brokered deal in September 2008, after it became clear that it was heavily exposed to mortgage-backed securities. 5) Wachovia: This commercial bank was acquired by Wells Fargo in a government-brokered deal in October 2008, after it became clear that it was heavily exposed to risky mortgage assets. These are just a few of the banks that experienced significant financial difficulties during the crisis. The collapse of these institutions had a profound impact on the global economy, leading to widespread job losses, foreclosures, and economic turmoil. In case you missed the earlier updates and important facts: In the past few weeks, there have been two significant bank failures in the United States that have sent shockwaves throughout the financial world. The collapse of Silicon Valley Bank and Silvergate Bank has sparked concerns about the stability of the banking system and the future of the crypto industry. The failure of these banks highlights the fragility of the financial system and the challenges faced by institutions that operate in high-risk sectors like tech and crypto. Silicon Valley Bank ( SVB ) was closed by the FDIC on March 9 due to its heavy losses caused by the downturn in technology stocks and the U.S. Federal Reserve's aggressive plan to increase interest rates. The Federal Deposit Insurance Corporation (FDIC) is an independent agency created by the US Congress in 1933 to maintain stability and public confidence in the nation's financial system. The FDIC provides deposit insurance that guarantees the safety of deposits in member banks, up to a certain limit. In the event that a member bank fails, the FDIC will step in to insure deposits, provide assistance to depositors, and liquidate the failed bank's assets. The FDIC also regulates and supervises member banks, as well as conducts research and analysis on the banking industry. Silicon Valley Bank bought bonds using customers' deposits, but the value of those investments fell as interest rates rose. This is usually not a problem for banks, but Silicon Valley Bank's customers were largely startups that needed cash. Venture capital funding was drying up, and companies were tapping their existing funds deposited with Silicon Valley Bank, which was at the center of the tech startup universe. In response to this liquidity crisis, SVB sold a $21bn bond portfolio at a loss of $1.8 billion. The bank attempted to fill the solvency hole with a combined equity offering of $2.25bn on March 8, but the attempt failed. This is the largest failure of a financial institution in the United States since Washington Mutual collapsed more than a decade ago. The closure of SVB had an immediate effect on some startups that had ties to the bank, as they scrambled to pay their workers and feared having to pause projects or lay off employees until they could access their funds. SVB , the 16th largest bank in the US, had assets of $209 billion, with more than 50% of its investments tied up in long-term securities, including exposure to the Silicon Valley tech and health startup world. The bank's sudden collapse has raised questions about its risk management practices, and the impact of its closure on its clients, who are largely startups and wealthy tech workers. The bank's large uninsured deposits and exposure to high-risk sectors like tech and crypto contributed to its downfall. But SVB isn't the only one... Silvergate Bank, which has been a significant player in the crypto world, has announced that it is closing and returning deposits. The bank's holding company, Silvergate Capital Corporation, stated that the decision was made "in light of recent industry and regulatory developments." The closure follows the loss of one billion dollars in a quarter after customers withdrew $8.1 billion, and a subsequent filing in March revealing even worse financials. The closure of Silvergate Bank is concerning for the crypto industry, as it may lead to companies turning to less regulated institutions for their banking needs, potentially making the space even riskier. Coinbase, Crypto.com, and Paxos have already started moving away from the bank. The collapse of the bank will likely draw scrutiny from lawmakers who are concerned about the crypto contagion affecting the traditional financial sector. The Silvergate Exchange Network, which allowed crypto exchanges like Coinbase, Gemini, and Kraken to move money between themselves and other institutions, has also been shut down. The bank's financial struggles have been ongoing for some time, with some of its high-profile clients like FTX and Genesis also experiencing challenges. Silvergate's collapse raises concerns about the future of the crypto industry, as companies may turn to less regulated institutions for their banking needs, potentially making the space even riskier for everyone involved. The bank's failure is also likely to draw scrutiny from lawmakers concerned about the potential contagion of the crypto industry on the traditional financial sector. Late Friday night Coinbase, a popular cryptocurrency exchange, announced that it would suspend conversions for the USDC stablecoin. This led to a rush of people trying to sell their USDC holdings, causing it to depeg from its value of $1 and trade as low as $0.87 before recovering to $0.92. Another stablecoin, Dai, also depegged and experienced a high volume of trading. Stablecoins are important in the cryptocurrency market as they provide a way for traders to move funds between different exchanges or cryptocurrencies without having to convert back to fiat currency. They are also used as a store of value by some cryptocurrency investors who prefer a more stable asset compared to the volatility of Bitcoin or other cryptocurrencies. If stablecoins depeg permanently, it could lead to a loss of confidence in their stability and reliability. This could potentially cause a sell-off of stablecoins and a shift towards other assets perceived as more stable, such as traditional fiat currencies. But before we panic too hard and FUD out, it's important to note that the impact of this crisis on cryptocurrencies such as alts and Bitcoin would depend on the severity and duration of the stablecoin depegging event, as well as other market factors such as investor sentiment and regulatory actions. In the past, there have been instances of stablecoins temporarily depegging from their underlying assets without significant impact on the broader cryptocurrency market. One notable example of a stablecoin depegging in the past is the case of Tether (USDT) in 2018. Tether is a stablecoin that is pegged to the value of the US dollar , with each USDT token representing one US dollar . In October 2018, Tether's price dropped below the $1 peg on several cryptocurrency exchanges, leading to concerns about the stability of the stablecoin. The depegging was attributed to a variety of factors, including regulatory pressures, concerns about Tether's reserves, and a general market downturn. The depegging led to a sell-off of Tether and a shift towards other stablecoins such as USD Coin ( USDC ) and TrueUSD (TUSD), which saw increased demand as traders and investors sought more reliable alternatives. Despite the depegging of Tether, the broader cryptocurrency market did not experience a significant impact, with Bitcoin and other cryptocurrencies largely unaffected. However, the incident highlighted the potential risks and uncertainties associated with stablecoins and their reliance on centralized institutions to maintain their pegs. In terms of price action for the immediate term, the Tether (USDT) depegging event in 2018 did have some impact on the cryptocurrency market prices, although the impact was relatively limited and short-lived. Following the depegging of USDT, there was a brief sell-off of Tether and a shift towards other stablecoins such as USD Coin ( USDC ) and TrueUSD (TUSD). This led to increased demand for these stablecoins, which helped to maintain their pegs to the US dollar . However, the broader cryptocurrency market, including Bitcoin , was largely unaffected by the Tether depegging. While there was some initial volatility and uncertainty, the market quickly stabilized and resumed its upward trend. 💭 Share your thoughts in the comment section and stay tuned! _______________________ 📢Follow us here on TradingView for daily updates and trade ideas on crypto , stocks and commodities 💎Hit like & Follow 👍 We thank you for your support ! CryptoCheck
SShort
by CryptoCheck-
29
Stablecoins Depeg: Twist of Events, Banking CrisisHi Traders, Investors and Speculators of the Charts 📈📉 Ev here. Been trading crypto since 2017 and later got into stocks. I have 3 board exams on financial markets and studied economics from a top tier university for a year. In a twist of events, an incident that happened within the banking realm created chaos for the crypto realm. I bet you didn't have that on your bingo cards for 2023... In the past few weeks, there have been two significant bank failures in the United States that have sent shockwaves throughout the financial world. The collapse of Silicon Valley Bank and Silvergate Bank has sparked concerns about the stability of the banking system and the future of the crypto industry. The failure of these banks highlights the fragility of the financial system and the challenges faced by institutions that operate in high-risk sectors like tech and crypto. Silicon Valley Bank (SVB) was closed by the FDIC on March 9 due to its heavy losses caused by the downturn in technology stocks and the U.S. Federal Reserve's aggressive plan to increase interest rates. The Federal Deposit Insurance Corporation (FDIC) is an independent agency created by the US Congress in 1933 to maintain stability and public confidence in the nation's financial system. The FDIC provides deposit insurance that guarantees the safety of deposits in member banks, up to a certain limit. In the event that a member bank fails, the FDIC will step in to insure deposits, provide assistance to depositors, and liquidate the failed bank's assets. The FDIC also regulates and supervises member banks, as well as conducts research and analysis on the banking industry. Silicon Valley Bank bought bonds using customers' deposits, but the value of those investments fell as interest rates rose. This is usually not a problem for banks, but Silicon Valley Bank's customers were largely startups that needed cash. Venture capital funding was drying up, and companies were tapping their existing funds deposited with Silicon Valley Bank, which was at the center of the tech startup universe. In response to this liquidity crisis, SVB sold a $21bn bond portfolio at a loss of $1.8 billion . The bank attempted to fill the solvency hole with a combined equity offering of $2.25bn on March 8, but the attempt failed. This is the largest failure of a financial institution in the United States since Washington Mutual collapsed more than a decade ago. The closure of SVB had an immediate effect on some startups that had ties to the bank, as they scrambled to pay their workers and feared having to pause projects or lay off employees until they could access their funds. SVB, the 16th largest bank in the US, had assets of $209 billion, with more than 50% of its investments tied up in long-term securities, including exposure to the Silicon Valley tech and health startup world. The bank's sudden collapse has raised questions about its risk management practices, and the impact of its closure on its clients, who are largely startups and wealthy tech workers. The bank's large uninsured deposits and exposure to high-risk sectors like tech and crypto contributed to its downfall. But SVB isn't the only one... Silvergate Bank, which has been a significant player in the crypto world, has announced that it is closing and returning deposits. The bank's holding company, Silvergate Capital Corporation, stated that the decision was made "in light of recent industry and regulatory developments." The closure follows the loss of one billion dollars in a quarter after customers withdrew $8.1 billion, and a subsequent filing in March revealing even worse financials. The closure of Silvergate Bank is concerning for the crypto industry, as it may lead to companies turning to less regulated institutions for their banking needs, potentially making the space even riskier. Coinbase, Crypto.com, and Paxos have already started moving away from the bank. The collapse of the bank will likely draw scrutiny from lawmakers who are concerned about the crypto contagion affecting the traditional financial sector. The Silvergate Exchange Network, which allowed crypto exchanges like Coinbase, Gemini, and Kraken to move money between themselves and other institutions, has also been shut down. The bank's financial struggles have been ongoing for some time, with some of its high-profile clients like FTX and Genesis also experiencing challenges. Silvergate's collapse raises concerns about the future of the crypto industry, as companies may turn to less regulated institutions for their banking needs, potentially making the space even riskier for everyone involved. The bank's failure is also likely to draw scrutiny from lawmakers concerned about the potential contagion of the crypto industry on the traditional financial sector. Late Friday night Coinbase, a popular cryptocurrency exchange, announced that it would suspend conversions for the USDC stablecoin. This led to a rush of people trying to sell their USDC holdings, causing it to depeg from its value of $1 and trade as low as $0.87 before recovering to $0.92. Another stablecoin, Dai, also depegged and experienced a high volume of trading. Stablecoins are important in the cryptocurrency market as they provide a way for traders to move funds between different exchanges or cryptocurrencies without having to convert back to fiat currency. They are also used as a store of value by some cryptocurrency investors who prefer a more stable asset compared to the volatility of Bitcoin or other cryptocurrencies. If stablecoins depeg permanently, it could lead to a loss of confidence in their stability and reliability. This could potentially cause a sell-off of stablecoins and a shift towards other assets perceived as more stable, such as traditional fiat currencies. But before we panic too hard and FUD out, it's important to note that the impact of this crisis on cryptocurrencies such as alts and Bitcoin would depend on the severity and duration of the stablecoin depegging event, as well as other market factors such as investor sentiment and regulatory actions. In the past, there have been instances of stablecoins temporarily depegging from their underlying assets without significant impact on the broader cryptocurrency market. One notable example of a stablecoin depegging in the past is the case of Tether (USDT) in 2018. Tether is a stablecoin that is pegged to the value of the US dollar, with each USDT token representing one US dollar. In October 2018, Tether's price dropped below the $1 peg on several cryptocurrency exchanges, leading to concerns about the stability of the stablecoin. The depegging was attributed to a variety of factors, including regulatory pressures, concerns about Tether's reserves, and a general market downturn. The depegging led to a sell-off of Tether and a shift towards other stablecoins such as USD Coin (USDC) and TrueUSD (TUSD), which saw increased demand as traders and investors sought more reliable alternatives. Despite the depegging of Tether, the broader cryptocurrency market did not experience a significant impact, with Bitcoin and other cryptocurrencies largely unaffected. However, the incident highlighted the potential risks and uncertainties associated with stablecoins and their reliance on centralized institutions to maintain their pegs. In terms of price action for the immediate term, the Tether (USDT) depegging event in 2018 did have some impact on the cryptocurrency market prices, although the impact was relatively limited and short-lived. Following the depegging of USDT, there was a brief sell-off of Tether and a shift towards other stablecoins such as USD Coin (USDC) and TrueUSD (TUSD). This led to increased demand for these stablecoins, which helped to maintain their pegs to the US dollar. However, the broader cryptocurrency market, including Bitcoin, was largely unaffected by the Tether depegging. While there was some initial volatility and uncertainty, the market quickly stabilized and resumed its upward trend. 💭The collapse of Silicon Valley Bank is the second-largest bank default in U.S. history and puts the golden trifecta rule of banking (liquidity, solvency, and profitability) into review. This failure reminds us of the unintended consequences of unorthodox monetary policies, pandemic remediation measures, excessive leverage, and democracy eroding rulings. SVB had significant exposure to long-term securities and the Silicon Valley tech and health startup world. The bank's uninsured deposits pose a problem but insured deposits will be available as soon as Monday. The collapse of Silicon Valley Bank and Silvergate Bank underscores the need for stricter regulatory frameworks and tighter risk management practices in the financial industry. The failures also highlight the importance of diversification and risk mitigation strategies for banks and their clients. As the financial industry continues to evolve, it is essential that institutions keep pace with the changes and adapt their practices to ensure their stability and resilience in the face of future challenges. _______________________ 📢Follow us here on TradingView for daily updates and trade ideas on crypto , stocks and commodities 💎Hit like & Follow 👍 We thank you for your support ! CryptoCheck
G
by CryptoCheck-
28
Why SI Silvergate Capital Corporation Collapsed ? If you haven`t bought puts here: Then you should know that last week, Silvergate's stock plunged by up to 45% following the company's announcement that it would delay filing its annual report due to ongoing investigations by various regulatory bodies, including the U.S. Department of Justice. This led major players in the crypto industry, including Coinbase and Paxos, to sever ties with Silvergate. The second largest bank serving digital assets companies, Silvergate, announced that it would wind down its operations on March 8. Analysts attributed the decline to a loss of trust in the crypto industry following the FTX meltdown, as well as concerns raised by short sellers primarily on Twitter. Silvergate primarily serviced cryptocurrency firms, including FTX, which ultimately failed. I am still bearish on the outlook of this stock! Looking forward to read your opinion about it!
SShort
by TopgOptions
1
COIN Coinbase Crypto Winter in SpringIf you haven`t sold COIN here, ahead of earnings: Then you should know that following a string of investigations and lawsuits against it, Silvergate Bank, a prominent lender to cryptocurrency firms, lost five key partners on March 2. Coinbase, Paxos, Gemini, BitStamp, and Galaxy Digital were among the notable crypto firms that previously relied on Silvergate as their banking partner. As a result, Coinbase ended its relationship with SI Silvergate and turned to SBNY Signature Bank, which i also believe it can drop significantly in price. In my opinion, we are about to witness a Crypto Winter in full Spring. COIN Coinbase could easily reach $53 by the end of this month, according to the Fibonacci retracement tool. Looking forward to read your opinion about it.
NASDAQ:COINShort
by TopgOptions
8
🔥 Bitcoin Dumping On Silvergate Contagion FearsYesterday, the share price of Silvergate, a cryptocurrency-focused US bank, dropped by nearly 50% in early trading after it delayed publication of its annual report and announced a fresh sale of assets to repay debts, while warning that it was assessing its ability to continue as a going concern. The delay and warning were prompted by its exposure to the collapse of crypto exchange FTX, which it said could hit its profitability, and the possibility of further regulatory scrutiny and legal action. Major partners, including crypto exchange Coinbase, have dropped Silvergate in response. Source: www.theguardian.com Naturally, this is bad news for crypto. A lot of fears about FTX and contagion have been re-awoken and investors decided to dump their tokens. In my view, Bitcoin looks bearish in the short- to medium-term. In my previous rising wedge analysis I mentioned that a bearish break out could lead us to $21,500, but now I think we can even go lower because this is not a "technical" dump, but a news-related one. Once word gets out that big crypto players got hurt by Silvergate, we might see more (forced) selling ahead.
Short
by FieryTrading
11
Silvergate Capital - Crypto's White Knights About to Eat a MOASSSo, Silvergate Capital is this bank that services the crypto market and is arguably a pretty shady company. It's a shady company because crypto itself is extremely filthy, is a cult, and doing business with shady cult people who are printing money out of thin air on the Internet brings with itself certain problems that no bank who is legit is willing to muddy its hands with. Crypto is this thing that was originally supposed to provide a check and balance against a national central banking system that was corrupted by the globalists. But, like everything else, crypto was co-opted and ruined by the exact same system it was designed to destabilize. History has come to pass, and just like really dirty water, you can't make it clean ever again. You can only burn it and watch it vanish. If you want to see where the real scam with crypto and its "stablecoins" like BUSD and Tether is, then you need to start looking at how Chinese Communist Party-related entities have pumped and dumped other cryptos, ultimately for conversion into BTC and ETH, which are offloaded on both foreign (South Korea) and US domestic exchanges in exchange for USD. The ultimate purpose of which is for CCP princelings to enrich themselves, and for the regime to have an under-the-table blood transfusion route for USD, which it has needed to stay alive all these years. They need USD because you need USD to buy oil and commodities. It's just that simple. Don't believe it? Look at what happened with Sri Lanka last year when it ran out of USD reserves and couldn't buy oil. People burned the presidential palace to the ground, and their president had to run away in a helicopter. The Communist Party has never been powerful. The Communist Party is dangerous, but it's not powerful. Nothing as riddled by corruption as it is counts as "powerful." It's just that all its members are bound by "mutually assured destruction." Since none of the white knights are willing to touch the topic of the connection to history's most wicked and brutal regime and just want to sound off about Binance and Tether for likes on Twitter, this should already tell you a lot about the integrity of the people who claim to be fighting for justice. But if there's one thing I despise the most, it's the soy leftists who feign to be white knight justice warriors who are opposed to the crypto ponzi and the money laundering scheme, because they just, like, really have morals, yeah? But in reality they use the opportunity to bring in a glut of followers and readers who lost a lot of money in crypto and are resentful and disenfranchised to both grift from and spread socialist indoctrination to. That group of scum happens to be a group boys and girls who has been, only because they were provided intelligence from someone who understands, holding puts on SI and SBNY for a very long period of time. People who are following the instructions of others tend to fail at thinking for themselves, and they tend to get greedy and forget that they don't actually have any abilities. If you don't believe it, just look at all the fools who called for $85 and $55 Tesla when it was already at $100 after falling for four or five straight months. Their bottom puts, and their puts all the way back up, all expired worthless as Tesla more than doubled in value and never even dipped again. Further to my point, Silvergate is the #1 most shorted stock in the market , and by a huge margin. 73.5% of the float is shorted as of Jan. 31, the most recent reporting. Putting that into perspective, everyone's favourite memecoin to lose money on, Bed Bath and Beyond , only had 48% of its float shorted. Now, it's a fallacy to think that because something is super shorted that you're going to get a "MOASS," and even stupider to think that retail can combine their bottle depot pocket change to take out Wall Street's positions. That was never what happened with Wall Street Bets and Gamestop. What really happened is a narrative was spun on the Marxist Reddit PR train to bring in idiots to provide exit liquidity at the top, and only an idiot would believe the narrative that retail combined forces to injure the pearly gates of the world's financial heart. Moreover, despite SI being such a piece of crap and the crypto market being on the verge of being smashed by the Federal Reserve and the US Treasury as they take down stablecoins to install a Central Bank Digital Currency and their own version of the CCP's social credit system, one based on "saving the world from climate change," according to 12/31 SEC filings , the biggest holders of SI, fundamental names like Blackrock and Vanguard, State Street, Block.One, Morgan Stanley, etc, all increased their positions. That should really ring some bells for you boys who are following the soy leftists on Twitter to ape on how crypto, SBNY, SI, Tether, and Binance are all going to $0, and going to $0 tomorrow. You're a few months early. Guillotines fall from high up. Use your brain. Moreover, you can divine some insight from the options chain . Open interest on puts with strikes at $10, $15, and $17.50 are in the high four and mid five digits expiring March 17, and in the low four digits expiring in April from $12.50. But starting in May, open interest on calls with strikes from $15 to $50 are low to high four figures, while in May, there's 35,000 contracts of open puts from $10. I'm of the opinion that Bitcoin is about to retrace significantly to take out early bulls and trap overzealous bears who don't understand market structure and can't think like the market maker. Bitcoin - Can You Fade the Bear Trap for $34,000? Since SI is a crypto bank it will be algorithmically moved in connection with the underlying asset. There is confluence in the price action on SI in that the lows have not been retested. Yet, the dump on crypto is not going to be to set new lows. It's more likely to print new highs. But what the monthly candles tell you is that an extremely critical pivot was already taken out in January: And what weekly candles show you is that when price bounced back into the $20s, PA both printed lower highs and was held back by the mitigation candle left in November Moreover, from the Friday close to the low is a 25% range. This % is a very significant amount from a PNL perspective. Thus, I believe that what is coming is: 1. Too early to go long and PA doesn't support it. 2. Crypto is likely to correct before going up again, if it goes up again. 3. Bottoms are untested, and so a double bottom is possible, but a 78%+ retrace is slightly more likely. 4. Bears are looking for $0.00 because they're very smart, very rational, and are avatars of justice. 5. MMs are going to show them the meaning of "expired worthless" because they're the ones who sold them the puts, lol. You have to understand that a call for a long trade is not an endorsement of a company, the stock market's health at large, or an underlying instrument. It's simply that things don't go to the bottom in a straight line, and the more greedy people become, the more fearful you should be. This is a Warren Buffet quote, and if you can keep a cool head you can take advantage of what's about to happen. Not only can you take advantage of the long opportunity, but you can use the wisdom to find the best short for when these D-list banks really do go to $0.
S
by LordWrymouth
10
🅱️Silvergate Bank ShutsDown, Bullish Signal? Bitcoin UnaffectedA development that just last year would certainly crash Bitcoin down to new lows, today only produces a small scratch on Bitcoin's price. Pressure from all around. Bad news: Inflation, the SEC fighting everybody in the Crypto-industry in order to advance their personal agenda, companies going bankrupt, all hell breaking loose... Bitcoin drops by $300 dollars. Seriously, this is a major bullish development. The sentiment continues to get worse by the hour yet Bitcoin seems unaffected. This week is the third week that Bitcoin has been red since 13-Feb. In 3 weeks Bitcoin drops by a total of 14% or just about $3,608 USD... Think about it. Back in November 2021 in 3 weeks Bitcoin dropped by 37% or $24,709 USD, big difference. In fact, it is normal to see Cryptocurrencies correct by 30%, 40%, 50%, 62% and even up to 78% after a bullish wave... The fact that we are having this strong resilience with so much bad sentiment and bad news is the strongest bullish signal we can get. - From March 2022 to June 2022 Bitcoin drops by 63%. - Just one candle in November 2022 produced a 26% drop... ✔️ Fast forward to 2023. The first two bearish weekly close happened late January and early February, not even relevant and the entire drop was recovered the following week plus a new high, bulls win. ✔️ Fast forward to the present day. Bitcoin has been dropping? No, consolidating for three weeks... Yes, this is consolidation... After consolidation we will have another leg up. Just watch! Remember to people saying "No volume!!!"? Notice the last three red weeks, no volume! I am calling my friends... It is time to buy. Let's reverse this thing! Namaste.
BITFINEX:BTCUSDLong
by AlanSantana
17
Ethereum & Silvergate you actually cannot make this up. I mean when a banks entire operation is based on registered securities sales, NFTs, ponzi scheme yields. Does make you wonder how long does Ethereum have left if it runs on the similar ecosystem? Will be interesting to watch this unfold, even though Ethereum developers locked tokens, what happens when the web3 companies are forced to liquidate after a visit from the SEC? I would not be surprised if Ethereum would be under $200 right about now if the developers did not force lock liquidity. What I suspect could unfold is a giant move back into Bitcoin out of Ethereum. . .
COINBASE:ETHUSD
by FederalXBT
2
Crypto hammered as Silvergate bank issues worry tradersWorries around Silvergate Bank have set off a mini plunge today. Crypto has seen a worrying Asian session so far, with most coins seeing heavy selling as traders look to take cover as the Sivergate Bank issue continues. The Banks share price lost 50% yesterday, and reports say most major players will suspend automated clearing with other business operations with the bank. Kaken is the only major exchange that looks to be continuing operations with the bank. Silvergate has seen most of its crypto industry clients leave a day after it announced it would have to review its books with auditors and warned of headwinds. They announced Wednesday they would be delaying their annual 10-K to answer questions from independent auditors and its accounting firm, as well as "regulatory and other inquiries and investigations that are pending." The bank warned in a forward-looking statement that it faced possible inquiries from bank regulators and the U.S. Department of Justice and its ability to "continue as a going concern", which may be affected over the next year. This is driving fear today, and we will continue monitoring as the updates come out. Let's hope it won't become another contagion, as seen in 2022.
EIGHTCAP:BTCUSD
by Eightcap
October 19 BTCUSD BingX Chart Analysis and Today's HeadlineBingX’s Bitcoin Chart Bitcoin is down 1.81% over the last 24 hours and fell to an intraday low of $19,091.97. The largest cryptocurrency broke below the 20-day exponential moving average ($19,410), suggesting the seller remains active at the higher levels. The RSI is near the midpoint, suggesting a balance between supply and demand. For now, the bulls need to push the price above the 20-day exponential moving average in order to prevent further decline. Today’s Cryptocurrency Headline Silvergate Capital Release Q3 Earnings Report Crypto bank Silvergate Capital released its third-quarter earnings statement Tuesday. The bank reported EPS of $1.28 in its third-quarter earnings presentation, compared with analysts’ consensus estimate of $1.41 via S&P Capital IQ. Silvergate's shares subsequently fell about 20%. Transfers via Silvergate’s real-time settlement network totaled $112.6 billion in the third quarter, which represents a 41% decrease compared with the previous three-month period and a 30% decline from the third quarter of 2021. Disclaimer: BingX does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products, or other materials on this page. Readers should do their own research before taking any actions related to the company. BingX is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods, or services mentioned in the article.
by BingX