As First Republic Bank shares fell more than 50% on April 25, the price of Bitcoin increased by more than 3% over the previous day. The correlation between Bitcoin and the S&P 500 may be eroding, according to data from crypto analytics company Santiment, as the idea that Bitcoin is a safe haven keeps spreading. Early in March, First Republic started to experience problems, which led to $30 billion being deposited at the struggling bank by 11 of the biggest financial institutions. In its first quarter earnings call, First Republic Bank stated that total deposits had decreased by more than $100 billion and that it would be “pursuing strategic options” to improve its financial position.The bank intends to reduce its office leases, reduce executive salaries, and eliminate 20% to 25% of its workforce in Q2 in order to reduce its balance sheet and reduce costs. According to U.S. Treasury Secretary Janet Yellen, the country’s banking industry is still strong and stable.
