The digital coin Tether (USDT) going down hard
The stablecoin Tether (USDT) knew a considerable decrease yesterday. Because of this immense drop, the price dropped to the lowest point in 18 months. Prices of important cryptocurrencies like Bitcoin, Ethereum and Ripple however showed an upward movement.
The Tether price received yesterday some big punches. The USDT reached a value of around $0.958 dollar while 24 hours ago, the price was still ‘just’ around $0.99. That means that we saw a decrease of the $1 price with about 3 percent yesterday. The collapse of the digital coin started yesterday morning and the decline reached a low point later that morning. At that point, the value of the coin reached a level of $0.92. The price experienced a somehow upward movement from that point on.
The decrease of the USDT was accompanied with an increase of other major cryptocurrencies like Bitcoin and Ethereum. The Bitcoin reached a top of around $6900 and that was the highest point in the last 6 weeks. Where the average Bitcoin price was around $6600, we saw the BTC price on the crypto exchange platform Bitfinex a lot higher. The price leveled around $7050, which means that Bitcoins are traded with a premium of $450.
Whenever something happens with the digital coin Tether, for sure the exchange platform Bitfinex is involved, why this assumption? Mostly because both companies are led by the same CEO. More and more rumors are reaching the surface on how Tether is used for the manipulation of the Bitcoin price. Recently the exchange plaftorm Bitfinex stopped fiat deposits. According to many the reason behind it was a big security problem. According to many the coin crash is a result of the problems of Bitfinex.
The huge outflow of Tether caused the increase of the Bitcoin price. Investors lost confidence in the stablecoin and are exchanging their USDTs for other cryptocurrencies. This creates a huge capital shift in the crypto market. This shift of capital might ensure a more volatile crypto market. At the moment, it is a good sign for most cryptocurrencies. Almost every cryptocurrency price turned green and the crash of a few days ago seems already forgotten.