100 Million Tether [USDT] were recently moved from Tether treasury to an unknown wallet and it was followed by a decent pump in Bitcoin price, reaching a local high of $39,833 at the time of reporting. Is it just a coincidence? Many notable analysts including Peter Brandt have compared Tether [USDT] similar to the money pumped by FED and Central Banks.
100 Million Tether Moved and BTC price Pumps, A coincidence?
The Tether FUD is does not seem to end and rumors of large Tether movement induced BTC price pumps seem to be forming well recognizable pattern. As reported by twitter handle, whale alert, a large $100 Million Tether’s were moved from Tether treasury to an unknown wallet.
?? ?? ?? ?? ?? ?? ?? ?? ?? 100,000,000 #USDT (99,701,010 USD) transferred from Tether Treasury to unknown wallet
— Whale Alert (@whale_alert) January 19, 2021
This was followed by a sharp rise in Bitcoin price suggesting a surge in Bitcoin buying at exchanges. Bitcoin price breached $39,000 within an hour of this transaction.
If we dig a bit deeper, large size Tether minting is speculated to be associated with BTC price pumps, as a proof the ongoing BTC bull run starting in November can be related to USDT minting in millions almost everyday.
Data shows Tether minting suddenly paused as soon as Tether was asked to handover data to NYAG w.r.t. ongoing trial for suspected price manipulations. Though, we accept this might be thin, but surely the role of USDT in BTC price manipulations needs to be investigated properly.
How is Tether Different from FED Pumping, Doubts Peter Brandt?
Peter Brandt, a known futures trader and author, recently cited his doubt on the role of USDT in pumping Bitcoin as he went on compare Tether with FED and central bank pumping. He also predicted that most of the exchanges allowing non-USD banked leverage trading will go bankrupt.
Perhaps I will never figure out the intricacies of Tether, but I think a couple of things are true:
1. I will only buy $BTC with $USD – no $USDT for me
2. More than one non-USD banked exchange that allows leverage will go bankrupt, and it won't be pretty https://t.co/Vsd9WUIJdj
— Peter Brandt (@PeterLBrandt) January 18, 2021
We are still researching the topic and will keep you updated with developments, do share any tip or view point on story to the author at [email protected]
