Bitcoin hovers around $28k after First Republic Bank stock tanks

Bitcoin is trading around the $28,000 mark, after trading higher. The churn comes after news that the First Republic Bank is close to seizure by U.S. authorities.

BTC was over $28,000 mark

Bitcoin bulls have reemerged, following the recent decline, to push the price above the $28,000 mark. BTC is trading at $27,984, up 2% over the last 24 hours.

Notably, the surge, similar to the aftermath of the Silicon Valley Bank and Signature Bank’s downfall, comes after the First Republic Bank lost over 40% of its deposits and its expected seizure by the U.S. government.

Meanwhile, its stock price has dropped about 50% since yesterday, and its trading has halted.

Coinglass data shows that over the past 24 hours, over 39,000 traders have been liquidated. About $145 million of the funds faced liquidation, with the single largest liquidation being on Bybit of BTC/USD value of $2.2 million. 

The data further shows that $123 million shorts, about 84%, faced liquidation while only $8.39 million longs were liquidated. The data shows traders were bidding on the crypto market to drop.

Over $60 million in bitcoin shorts were liquidated, while only 8.39 million longs were liquidated. The move indicated that traders hoped for bitcoin price to drop moving forward as BTC was trading with more selling pressure.

Meanwhile, bitcoin’s 30-day rolling correlation with gold has increased since March. The correlation is now at 57%, the highest in about two years.