Cardano Financial News

Get your daily, bite-sized digest of cryptoasset and blockchain-related news – investigating the stories flying under the radar of today’s crypto news.__________

Bitcoin (BTC) is up about 71% in Q1 2023, which is the first positive quarter after four consecutive quarters of negative returns in 2023, according to data from Coinglass. This shows that the sentiment has turned positive and the bulls are trying to put a bottom in Bitcoin.

The week has commenced on a dismal note for Bitcoin, as the digital currency grapples with market wide issues and overall macroeconomic uncertainty. 

The news and events related to the banking crisis in the United States and Europe have led to a rotation of funds into investments considered less risky. According to the Financial Times, the U.S. money market funds in March witnessed an inflow of $286 billion. 

The European stock markets fell on March 24 on renewed fears that the banking crisis could rear its ugly head once again. The latest selling was triggered after Deutsche Bank’s credit default swaps, which offer protection to the buyer against specific risks, soared on March 23 without any known catalyst. That pulled down the shares of the German lender by 11%. 

Founded in 2015 by Ethereum co-founder Charles Hoskinson, Cardano is a proof-of-stake (PoS) blockchain that is often referred to as the “Ethereum killer,” owing to its superior technology and high level of security and sustainability.

Bitcoin (BTC) has been sustaining above the $25,000 level for the past few days, increasing the likelihood that the bear market may have ended. Generally, in the initial stages of a new bull phase, several analysts remain in a state of disbelief and expect the resumption of the downtrend.

Cardano (ADA) rallied to its best price level in a month as cryptocurrency investors prepared for the Federal Reserve's looming interest rate decision.

The takeover of the ailing Credit Suisse bank by UBS boosted European equity markets on March 20 but not everyone is happy with the deal. According to Swiss regulator FINMA, the value of additional tier one (AT1) bonds will be written to zero. This move will wipe out $17 billion worth of investments for AT1 bond investors.

Cardano (ADA), the cryptocurrency that powers the smart-contract-enabled Cardano blockchain, was last changing hands around $0.34 per token, up around 4% on the day amid a broader rally in cryptocurrencies, but lifted somewhat by positive news about the Cardano development team delivering a new network upgrade.

After a recovery on March 16, the United States equities markets are again down on March 17. Investors remain concerned about the vulnerability of the banks in the U.S. and Europe. A silver lining for cryptocurrency investors is that Bitcoin (BTC) has remained decoupled with the equities markets and has risen to its highest level since Jan. 12.

The United States equities markets tumbled on March 15 after Saudi National Bank, Swiss Bank Credit Suisse’s largest investor, said it will not be able to provide any more funding to Credit Suisse due to regulatory limitations.

Investors in the crypto market are once again aggressively bullish following the collapse of key banks in the United States. ADA, the token powering Cardano, a decentralized ecosystem is up 3.6% in 24 hours and trading at $0.3435 at the time of writing.

Three banks, Silvergate, Silicon Valley Bank and Signature collapsed within a span of a few days. That increased demand for United States government bonds, which sent the yield on the 2-year Treasury tumbling to 4.06%, a fall of 100 basis points since March 8.

Bitcoin (BTC) led a sharp sell-off in the cryptocurrency markets on March 9 as the woes at Silvergate Bank and Silicon Valley Bank dented investor sentiment. 

The ADA-denominated value of cryptocurrency locked within smart contracts on the Cardano blockchain recently reached an all-time high of 341 million ADA, according to data presented by DeFi Llama. ADA is the token that powers Cardano’s smart-contract-enabled high-performance blockchain that is seen as a rival to the Ethereum blockchain.  

On March 7, United States Federal Reserve Chairman Jerome Powell warned that interest rates may remain higher for longer than previously anticipated. This boosted expectations of a 50 basis points rate hike in the Fed’s March meeting to about 70% from 30% a week earlier, FedWatch Tool data suggests.

The United States equities markets are trying to extend their recovery at the start of the new week. One of the reasons that could be boosting investor confidence is that the yield on the benchmark 10-year note has slipped further to 3.924%.

Bitcoin (BTC) is leading the cryptocurrency markets lower and the matter is being exacerbated by Silvergate Banks' ongoing issues. This week the cryptocurrency-focused bank said that it needed additional time to file its annual 10-K report and warned that it may not be able to operate for another 12 months. Reacting to this news, several cryptocurrency companies announced that they were reducing or canceling their partnerships with Silvergate Bank. 

cryptocurrency markets were trading mixed on Wednesday. Bitcoin, Ethereum and XRP were trading with gains, while BNB, Shiba Inu and Cardano were trading with cuts. Bitcoin (BTC) rose 0.17% to $23,471, while Ethereum (ETH) was above the $1,600 level. BTC volume stood at approximately $21.84 billion, falling 1.92% in the last 24 hours. «As the cryptocurrency market continues to face downward pressure, Ethereum has shown potential for an upward move, with technical indicators suggesting that a sustained uptrend is likely. However, Bitcoin struggled to gain momentum, hovering around the $23,500 level as investors seek safer investments amid growing macroeconomic uncertainty,» Sathvik Vishwanath, Co-Founder & CEO of Unocoin, said. The global cryptocurrency market cap was trading lower around $1.07 trillion, falling 0.06% in the last 24 hours.

Venture capital has long been the go-to method for crypto projects looking for funding during the peak of a bull cycle. However, as the bear market of 2022 extended, the amount invested by crypto venture capital funds dwindled, showing a clear need for a self-sustained funding system for the blockchain space.