Bitcoin, Ethereum prices find temporary support after Silvergate slide
The prices of Bitcoin and Ethereum have steadied following a drop on Friday, which was fueled by concerns surrounding Silvergate, a bank with ties to cryptocurrency. In response to a 40% reduction in its workforce, the company decided to discontinue its Exchange Network, citing a risk-based approach.
Platforms suspended payments and withdrawals through the Silvergate payment network in response to concerns over its viability. As a result, major cryptocurrencies experienced a sharp decline before finding support at crucial technical levels.
The negative outlook and increasing expectations of higher interest rates had a detrimental effect on digital assets, causing BTC to fall below its 20-day moving average and creating resistance at around $23,600. The decline continued into the weekend, but a recovery from the psychological level of $22,000 helped minimize losses.
The dominant digital asset in terms of market capitalization reverted to a limited range of support and resistance, while Ethereum experienced a decline below $1,600 before finding stability at $1,579.
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