Bitcoin Price Plunges 5% in a Few Minutes – Is Silvergate Bank to Blame?

Bitcoin price has taken a significant hit in the past 24 hours, dropping 4% and currently trading at around $22.3K. The sudden crash has been attributed to the turmoil at Silvergate Bank, which reported operational issues yesterday. This prompted Coinbase and other crypto heavyweights to issue statements that they will no longer be accepting or initiating payments to or from Silvergate. The crash has resulted in a sharp increase in liquidations, with over $240 million worth of both long and short positions wiped from the derivatives market in the past day. While the Silvergate Bank issue is thought to be the cause of the crash, some are questioning if there are other factors at play. Whatever the reason, the crash has caused a great deal of uncertainty in the crypto market.