Crypto currencies drop on Silvergate Bank shut down

Solana is down 18 per cent over the span, trading at $18.45, followed by Polygon and Litecoin, which are down 16.3 per cent and 15.3 per cent, respectively

Bitcoin (BTC) is 1.7 per cent lower over the past day and 8.4 per cent in the week, as the largest crypto currency dived to a three-week low of $21,640 during the early hours on Thursday, according to data from CoinGecko.

The world’s leading crypto currency last traded under $22,000 in mid-February before a rise of interest in non-fungible tokens minted through the Ordinals protocol on Bitcoin pushed the price to near $25,000.

For the last two weeks, however, Bitcoin has been on the decline as Silvergate Bank’s problems hit the headlines.

The San Francisco-based firm, which was assisting several crypto businesses, including the collapsed FTX exchange, announced it was shutting down operation on Wednesday, citing ‘recent industry and regulatory developments.’

Ethereum (ETH) is following a similar bearish pattern, as the market’s second-biggest crypto currency declined 1.5 per cent in value in the day and 7.9 per cent over the past week, according to CoinGecko.

ETH is now trading at a three-week low of $1,531, which is nearly 69 per cent off the crypto currency’s historic high of $4,878 reached in November 2021.

A number of leading altcoins have, in the meantime, suffered even bigger losses over the week.

Solana (SOL) is 18 per cent lower over the span, trading at $18.45, followed by Polygon (MATIC) and Litecoin (LTC), which are 16.3 per cent and 15.3 per cent lower, respectively.

Polkadot (DOT) lost 14 per cent in value on the week, while Avalanche (AVAX) is down 13.5 per cent.

The seventh-placed Cardano (ADA) is 12.4 per cent lower over the duration.

The latest decline in prices resulted in more than $100 million in liquidations during the past 24 hours, as per Coinglass, with nearly 81 per cent being long positions, or bets on the prices to rise.