This week, users of the Exchange Whitetbit voted to make analyze the USDT stablecoin
Most likelyMost likely, such interest caused by the situation that there has been a large number of flooding on the Internet, that Tether has problems and it will collapse soon, etc.
Cryptocurrency USDT – a story of panic repeats itself
USDT Cryptocurrency: Is It Worth Panicking For Tether Reliability?
This week, Whitebit users voted to analyze the USDT stablecoin.
Most likely, such interest caused by the situation that there has been a large number of flooding on the Internet, that Tether has problems and it will collapse soon, etc.
USDT cryptocurrency – History With Panic Repeats Itself
The same situation was in 2018 during the crypto-winter. In the final cryptowinter stage the most negative news background was created in order to lure from market participants their assets as much as possible for very cheap price.
In 2018, Tether and the Bitfinex cryptocurrency exchange (one co-owner in two organizations) were accused of printing 850 million unsecured USDT and Bitfinex releasing them into circulation. Then it was somewhere between 25-35% of the total USDT capitalization. And then all the crypto media shouted that Tether is over, soon it will go bankrupt, and behind it the whole crypto market will collapse.
In fact, the crypto market fell throughout 2018, but two years later BTC grew from $3k to $69k, and altcoins showed unbelievable growth %%.
The trial of Tether and Bitfinex lasted 1.5-2 years and everything calmed down. The USDT capitalization since has grown 25-30 times. And most likely those who created panic in the market earned the most.
Recently we recorded a video review of the USDT on our youtube channel. We offer you to get acquainted with it:
Now there are again flooding around Tether, that its capitalization is decreasing and it is true. The USDT capitalization has decreased by $10 billion or -12% in recent months.
There is a report on Tether official website stating that they burned part of the USDT to maintain the proportion of collateral and reserves, as the value of crypt and stocks is on a downward trend, and they are part of the USDT collateral.
It seems that Tether organization has drawn the right conclusions from the past.
So put aside the panic while USDT is the main stablecoin with the largest capitalization of $70 billion and the largest number of trading pairs up to USDT. Although the closest competitor USDC in recent years has greatly increased capitalization – $54 billion (at the time of writing) and trading turnover, and is beginning to catch up with USDT.
ThThe USDT dominance indicates the end of the global crypto market fall wave.
Now, a few more words on the graph of USDT dominance
As can be seen from the chart, this index has been moving up the channel for several years.
In our opinion, the most interesting thing is that when the peak values of USDT dominance are recorded on the chart, so many participants withdrew from the crypt into the stablecoins, then the final bottom is fixed in the market and the growth phase begins.
This was the case in 2020 and 2021, and it may happen in the near future.
If you believe the fractal, the end of the fall on the crypto market is very close.
The theoretical altseason may begin from mid-July to mid-November 2022.