Bitcoin’s Wild Ride: Banks Bleed Billions While Crypto Dances on the Edge

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Like a dust storm rising on the horizon, Bitcoin’s price kicked up to over $95,000 this Monday, clinging to a height it hadn’t seen since the world was just waking to the year’s troubles on February 24.

This feverish rally, fueled by whispers of a trade pact—some say truce—between the United States and China, has the digital currency looking like the stubborn old mule who won’t quit the plow.

Meanwhile, the market’s mood sharpened when Trump—a man known for flip-flops slicker than a greased pig—decided he wouldn’t be booting Jerome Powell out of the Federal Reserve paddock after all. Bonds? Those bond vigilantes stirred up a ruckus that made even the sharpest tariffs seem like child’s play.

Now, fresh on the scene is a mighty storm brewing beneath the bones of America’s banking giants—the $482 billion in shadowy, unrealized losses held tight in their Treasury bond stashes. These are the bank’s skeletons in the closet, bought back when zero seemed like a magic number for interest rates.

You see, the pandemic brought rates down to near-nothing, but then rates jumped like a rattlesnake—over 4% today—making yesterday’s bonds look like dusty relics nobody wants at the county fair.

Take a ten-year bond from 2020; it’s like holding a fishing rod with a line cast long ago—now the fish swim to newer, shinier hooks paying 4 to 5 percent. Banks like Bank of America, Charles Schwab, JPMorgan Chase, and Wells Fargo find themselves holding onto bonds that feel heavier by the day.

But selling now? Ha! That’d mean locking in those losses and watching their stock prices nosedive faster than a jackrabbit in a coyote’s path. Toss in the Fed’s problem—reluctant to trim rates as Trump pleads—lest inflation run wild like a bull in a china shop—and you’ve got a stew bubbling over with risk.

Some banks might topple like First Republic did in ’23, undone by these lurking losses. And there, in the shadow of all this tumult, Bitcoin emerges, not merely some inflation hedge, but the stubborn mule that stands as the last piece of collateral left in the dust bowl of trust.

“This massively reinforces the structural case for Bitcoin. Because Bitcoin isn’t just an ‘inflation hedge.’ It’s becoming the collateral of last resort as trust in traditional collateral evaporates.”

Bitcoin price technical analysis

Look here, in the quiet measure of days and charts—the 3-day battle lines drawn in price moves—Bitcoin has bounced back like a wild horse. It took down the $88,666 fence, that double-bottom rigged earlier this month.

Still holding its ground above $73,805, the rim of the cup and handle pattern, Bitcoin strolls past the 50 and 100-day moving averages like a bull with swagger, telling you: “I’m still the boss in this neck of the woods.”

The best guess? That brave coin will rise and rise, eying the $100,000 peak. Beyond that, it’s a rodeo all the way to its old-time high of $109,300, and maybe, just maybe, climbing to the lofty cup and handle prize—$122,000. Saddle up, partner, this ride ain’t over yet. 🤠💰

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2025-04-28 17:13