While the United States banking industry is moaning about the collapse of their biggest banks, Germans woke up to be greeted by the news of the Deutsche Bank crash. The latest report says that the bank has lost 15% of its share value. This development has led many smaller European banks to lose in the region’s stock market. This scenario has caused quite a stare among investors and stakeholders, who have come up with contradicting options.
In one of the investigative inquiries gathered, some industry players have started predicting an impending surge in the price of major cryptocurrency development associated with this latest development. Experts have further confirmed this assumption, citing the price surge during the collapse of major United States banks as a reference.
A Brief Insight Into the Operations of Deutsche Bank
Deutsche Bank is German and probably one of the oldest banks in Germany. As a globally acclaimed bank that renders financial services to both businesses and individuals – the bank currently operates in more than 60 countries. As of the time of this report, industry rumors say they are working on opening more branches before the ugly development.
From the information gathered on the services offered by the bank, some of their services include investment banking, corporate banking, retail banking, asset/wealth management, transaction banking, and many other microservices. It is also gathered that before the crash, the bank was one of the best security traders in Germany and had one of the most convenient FOREX platforms.
While investigating the reputation of Deutsche Bank in the European market, it was proven that it has influence throughout the Asia Pacific, American, and European continents, which is why the crash has raised so much dust among bankers in the global banking industry. It was also gathered that before its crash, Deutsche Bank had witnessed many controversies ranging from manipulating the market to theft, to mention a few.
Where the Trouble Started With Deutsche Bank
At the moment, it is not yet clear what led to such development, as investigations into the cause is still ongoing. But from what is available so far, the trouble started with Deutsche Bank when it was reported that it had lost more than 15% of its share value. This happened on Friday and has been recorded as the biggest market loss in the bank’s history. On a positive trend, most of these losses have been recovered barely two hours after they happened, but the shock it sent to the banking industry and beyond is massive and still having an advance effect.
Investigating deeper into the origin of Deutsche Bank, this development has also led to the collapse of many other European banks, which have been said to have recorded significant losses on the stock market floor. Although none affected banks have announced closure or bankruptcy, the European banking industry and the stock market have remained nervous since the incident. Experts are also optimistic that everything will fall into place since it has become a global phenomenon, considering similar events that has happened in the United States.
The Latest Development, And The Bitcoin Effect
As noticed during the collapse of four top United States Banks, the prices of major cryptocurrencies surged. Since this development was made public, the price of BTC has not made any major attempt at going up. On the contrary, at the time of this report, Bitcoin had started falling below its original $28,000 benchmark since the Deutsche Bank happened.
While explaining the situation, analysts have said that it may be early to conclude on a possibility of a price surge. They further went ahead to predict that the price of the BTC may still rise in a couple of days since one can’t completely compare the outcome of the situations in the United States and the recent occurrence in Europe.
Nevertheless, in another analysis by industry experts, they’d predicted an all-time high since Bitcoin’s new $60k+ benchmark. They’d predicted a $30k price increase in the next surge, which they said would be coming in a couple of days.