The stock market of banks has experienced a further decrease, leading the Dow to drop by 400 points. This coincided with the top banks losing an additional $54 billion.

In the last fortnight, a decrease of almost 5% was seen in the Dow Jones Industrial Average due to increasing worry about the financial stability of banking organizations in America.

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On Friday, the major stock indexes saw a dramatic decrease in numbers as investors voiced their skepticism of the government-backed plan to save the struggling First Republic Bank. The plan was met with widespread concern, with some seeing it as a mere Band-Aid on a much deeper problem, which could potentially lead to an even deeper issue for other banks.

There was not a pot of gold in sight on Wall Street this St. Patrick's Day.Getty Images
Wall Street was far from lucky this St. Patrick's Day, as not a single pot of gold was seen in sight. Despite the festive holiday, investors were met with a lack of fortune, as the stock market failed to show any signs of a pot of gold.

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The banking industry was thrown into chaos over the past week following the closure of three major banks in the U.S.: Silicon Valley Bank, Silvergate Capital, and Signature Bank. Further complications arose when San Francisco-based First Republic Bank saw its stock crash by as much as 85% in four trading sessions and its credit rating downgraded to junk. In response, the Fed Chairman Jerome Powell and Treasury Secretary Janet Yellen have announced a $30 billion capital injection to the troubled bank, a move that was welcomed by many. However, billionaire hedge fund manager Bill Ackman expressed concern that the infusion could spark a “financial contagion” and lead to further instability in the industry.

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A startling trend is emerging in the American banking industry. Over the past week, the 10 largest American banks have seen their market capitalization drop by a staggering $223 billion. This massive downturn in market capitalization has analysts and investors alike questioning the future of the industry. With such a dramatic dip, the American banking industry is surely facing an uncertain future.

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Billionaire investor Bill Ackman caused a stir on Friday after tweeting that Bank of America might be set to acquire Signature Bank on Monday. Although no details were provided as to the source of Ackman's information, the news was enough to send Bank of America stocks into a slight decline, down 4% from their initial value. While many investors remain skeptical, some hope that Ackman's prediction will turn out to be true. As Monday approaches, the financial world will be watching for any news about Bank of America's potential acquisition.

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Bitcoin is having a major surge, rallying more than 20% since last Wednesday. This recent jump has the cryptocurrency hovering near a 6-month high. As confidence in the banking system wavers, investors have been investing in the largest decentralized currency, causing it to rise 4% to $26,860 on Friday.

Shares in First Republic plummeted in trading today, only to be saved by a surprise $30 billion rescue plan from a consortium of the nation's biggest banks. The plan, announced late in the afternoon, sent the stock price of First Republic soaring.