Twitter CEO Elon Musk has responded in support of the two cryptocurrencies that crypto supporter Cathie Wood glorified in the current banking crisis.
Elon Musk supports Cathie Wood on US banking crisis
Ark Invest CEO Cathie Wood shared a lengthy tweet about the banking system that has been in crisis recently. He pointed out that the cryptocurrency market is rising during this time. Elon Musk, who has been busy with artificial intelligence lately, soon joined the discussion with his supportive comments.
In statements that caught Musk’s attention, Cathie Woods says that while the US banking system is recovering, other altcoins in the market, as well as Bitcoin and Ethereum, are taking advantage of it. BTC price reached new nine-month highs during the crisis, accompanied by US inflation data released on March 14.
While the US banking system was seizing up in response to bank runs threatening regional banks, Bitcoin, Ethereum, and other crypto networks didn’t skip a beat. Instability in the banking system threatened stablecoins, the on-ramps to DeFi, in stark contrast to regulator rhetoric https://t.co/r5xwC96Pdj
— Cathie Wood (@CathieDWood) March 15, 2023
Bitcoin briefly surpassed $26,000, with daily gains exceeding 18%. This was followed by a 5% decline on March 15. Ethereum price rose 20.26% to $1,776 yesterday, but is now down to $1,650.
However, Woods said the banking system is “unstable” as three major (and crypto-friendly) banks fail, two are bailed out, and pose a threat to the USDC stablecoin.
Elon Musk steps in and supports Woods
Before the US banking crisis began, the SEC sued crypto exchanges Kraken and Gemini for their staking services. Also, the New York attorney general sued KuCoin, alleging that Ethereum is a security.
Instead of attacking “decentralized, transparent and well-functioning” financial platforms like the DeFi and DEX sectors, Wood believes regulators should address vulnerabilities in the traditional banking system. Wood, possibly referring to the Great Depression that hit the United States in 1929, noted that clear signs of a crisis were emerging there, resembling the crisis of the 1920s. This is where Musk comes into play…
https://twitter.com/CathieDWood/status/163580725164515333
Twitter CEO Elon Musk commented that the situation in banks is now very similar to the situation in 1929. She supported Cathie Wood’s statements that she said Bitcoin and Ethereum are resilient to financial crises.
Robert Kiyosaki says the chain of bankruptcies affecting the cryptocurrency market will be prolonged
Silvergate, Silicon Valley Bank, and Signature Bank were the closest banks to the cryptocurrency market, which went bankrupt due to unstable interest rates. Signature Bank was working with Paxos, which released the BUSD and USDP stablecoins. Ripple CEO Brad Garlinghouse also made a statement on Twitter stating that the company has little contact with Signature Bank.
Famous financial writer Robert Kiyosaki said that in this environment, two big banks went bankrupt and a third was close. cryptocoin.comAs you follow on Saturday, it predicted that Signature Bank would also go bankrupt.
Two Major Banks have crashed. #3 set to go. BUY real gold and silver coins now. No ETFs. When Bank #3 goes gold & silver rocket up. 2008 I forecasted collapse of Lehman days before it crashed on CNN. If you want proof go to RICH DAD .com. Will be on Neil Cavuto on FOX on Monday.
— Robert Kiyosaki (@theRealKiyosaki) March 10, 2023
