Bitcoin Gains as FDIC Steps In for Silicon Valley Bank

Risky assets pared or reversed early gains during the European trading hours as shares in San Francisco-based First Republic Bank (FRC) nosedived in premarket trading in the U.S., reflecting investor angst over the banking sector’s health. Bitcoin pulled back to $22,000, after it nearly tested its 50-day simple moving average at $22,900 during Asian daytime hours. The cryptocurrency is still up 8% in the last 24 hour as the Federal Deposit Insurance Corp. said all depositors of Silicon Valley Bank will have full access to their money beginning Monday morning. after confirming a successful transfer of deposits to a new bridge bank. The new bridge bank, called Silicon Valley Bank N.A., will be operated by the FDIC. Silicon Valley Bank is used by many tech companies, an area that includes crypto startups.