Maximilien De Hoop Cartier, a descendant of the family famous for their French luxury goods Cartier, has been indicted for his participation in a network that allegedly used several shell companies to launder drug trafficking money proceeds using USDT. Cartier and five Colombian individuals allegedly conspired to directly launder .5 million and used these shell […]
Bitcoin News
USDT Stablecoin Supply on TON Blockchain Hits 130 Million in 2 Weeks
Since the introduction of USDT on the TON blockchain, the supply of this stablecoin has grown by over 70 million within just two weeks, totaling 130 million. While USDT operates across multiple blockchains, its presence on TON has positioned it as the eighth largest in terms of circulating supply. TON Blockchain Sees 70 Million Increase […]
Bitcoin News
USDT Dominance Falling, Analyst Predicts Bitcoin To Reach $80,000
Though Bitcoin prices are fast-dropping, looking at events in the daily chart, one analyst thinks the coin is gearing up for a comeback, citing developments in the USDT dominance chart, or USDT.D.
USDT Dominance Falling, Good For BTC?
Taking to X on April 29, the analyst said USDT.D recently fell, breaking below a critical support trend line. Thus far, USDT.D faces strong rejections at immediate resistance levels, signaling weakness.
All this, while considering the inverse relation the USDT.D chart has with Bitcoin, the analyst now expects the world’s most valuable coin to tear higher, reversing recent losses and rejuvenating the broader crypto scene.
To understand what’s going on, one has to understand what the USDT.D chart represents. In essence, it compares the market capitalization of USDT, the world’s largest stablecoin, versus the total market capitalization of other stablecoins, including USDC, DAI, FUSD, and every other USD-pegged asset.
This chart reflects the dominance of USDT in the stablecoin scene. However, analysts have also been using this chart to gauge sentiment and correlation with Bitcoin.
As expected, USDT.D and Bitcoin, analysts note, enjoy an inverse correlation. Since stablecoins like USDT act as a safe haven when prices are plunging, USDT.D will rise when BTC prices are plunging and fall whenever Bitcoin is tearing.
Following the drop below the support trend line and dipping USDT dominance, the analyst predicts Bitcoin prices will stabilize and even expand in the sessions ahead. So far, BTC is under pressure, shrinking by over 15% from all-time highs.
Meanwhile, the USDT.D chart has found resistance. If it rejects, it could signal the resumption of Bitcoin’s early Q1 2024 uptrend.
Bitcoin Bears Pressing On: Next Stop ,000?
Currently, Bitcoin is trending lower but above ,000. Despite the slowdown, the possibility of BTC finding traction and expanding, even reclaiming ,800, cannot be discounted.
The analyst expects a “massive leg up” for Bitcoin should USDT.D continue falling, aligning with the support trend line break. According to the analyst’s projection, BTC can rally above the all-time high towards ,000 or even higher.
Even so, though the analyst is optimistic, BTC prices will not be guaranteed to fly because of shrinking USDT dominance.
Shifting market dynamics, including institutional adoption via spot Bitcoin exchange-traded funds (ETFs) and even regulatory developments, such as the United States Securities and Exchange Commission (SEC) initiating charges against stablecoins as it did for BUSD, can impact Bitcoin prices or USDT dominance.
USDC Beats USDT In Transaction Volume By Over 400% – Details
The seemingly unshakeable reign of Tether (USDT) as the king of stablecoins faces a new challenger. Circle’s USD Coin (USDC) has pulled off a surprise victory, recording a higher transaction volume than Tether in April 2024, according to on-chain analytics from payments giant Visa.
This development marks a significant shift in the stablecoin landscape. While Tether boasts a staggering market capitalization of over 0 billion, USDC, with its billion valuation, has emerged as the more actively traded coin.
Visa’s data reveals USDC processed a whopping 6 billion – which is 400% more – in transaction volume last week, compared to Tether’s billion.
USDC: A Slow And Steady Climb
This victory wasn’t a sudden overnight success. USDC has been steadily chipping away at Tether’s dominance since late 2023. Visa’s data shows USDC’s monthly transactions surpassed Tether’s for the first time in December 2023, with 145 million transactions compared to Tether’s 127 million. The April figures solidify this trend, with USDC clocking in at over 166 million transactions against Tether’s nearly 164 million.
Experts point to several factors behind USDC’s rise. Increased regulatory scrutiny surrounding Tether’s reserves and ongoing concerns about its transparency may be driving users towards USDC, perceived as a more regulated and auditable stablecoin.
Additionally, USDC’s partnership with Visa itself could be playing a role. Visa launched a stablecoin analytics dashboard in April, prominently featuring USDC alongside other major stablecoins. This increased visibility might be attracting new users to the platform.
Tether Still Holds The Crown (For Now)
Despite USDC’s impressive transaction volume surge, Tether remains the undisputed king in terms of market capitalization. Its 0 billion dwarfs USDC’s billion, indicating a much larger total value of outstanding coins. This suggests Tether is still the preferred store of value for many crypto investors, even if they aren’t actively trading it as frequently.
Furthermore, Tether boasts a significantly larger user base. While USDC processed more transactions in April, Tether saw activity from over 34 million unique wallets compared to USDC’s 9.57 million. This could imply Tether is used for larger transactions or by a wider range of individuals, while USDC caters to a more active trading community.
The Future Of Stablecoins: A Two-Horse Race?
The battle between USDC and Tether is far from over. USDC’s recent success in transaction volume demonstrates its growing influence within the crypto ecosystem. However, Tether’s established user base and market cap dominance suggest it won’t be easily dethroned.
The evolving regulatory landscape and user preferences for transparency and security will likely be key factors shaping the future of stablecoins. Whether USDC can maintain its momentum and challenge Tether’s market cap advantage, or if Tether can regain its transaction volume lead, remains to be seen.
Featured image from Tap Global, chart from TradingView
Latam Insights: Venezuela to Leverage USDT for Sidestepping Sanctions, Chivo Wallet Disregards Hacking Allegations
Welcome to Latam Insights, a compendium of Latin America’s most relevant crypto and economic news during the last week. In this issue: Venezuelan oil company PDVSA could use USDT to sidestep U.S. sanctions, Chivo Wallet denies hacking allegations, and Nubank expands its crypto functionality in Brazil. Venezuela Might Use USDT for Sidestepping Sanctions Venezuela is […]
Bitcoin News
Scammers Trick Crypto Users With Faked USDT Balances, Slowmist Reports
Slowmist, teaming up with Imtoken, has exposed a new cryptocurrency scam exploiting offline transactions and using USDT, where scammers manipulate Ethereum RPC to falsify USDT balances in the victim’s wallet. The con artists coax victims into changing their Ethereum RPC URL to one they control, making it appear as though USDT funds were deposited, only […]
Bitcoin News
Venezuelan State Oil Company to Accelerate USDT Adoption for Settlements; Tether Vows to Uphold OFAC Sanctions
PDVSA, the state-owned Venezuelan oil company, would be preparing to migrate more of its payments portfolio to USDT, a dollar stablecoin, to avoid being affected by the restitution of U.S. sanctions. Reuters reported that the company started receiving payments in USDT last year and will accelerate its adoption. Tether, nonetheless, stated it will uphold OFAC […]
Bitcoin News
Tether Expands to TON Blockchain With $60M USDT Launch
Tether has partnered with the TON Foundation, launching million of USDT on The Open Network (TON) blockchain as announced at the Token2049 event in Dubai, making TON the 11th largest blockchain out of 16 supproting Tether. This collaboration also introduced the gold-pegged Tether Gold (XAUT) stablecoin on TON, with cross-border payments touted as free, […]
Bitcoin News
Tether Integrates USDT on TON Network, Targets 900 Million Telegram Users
Tether, the stablecoin company, has launched native USDT, the largest dollar-pegged stablecoin, on The Open Network (TON). With this addition, over 900 million Telegram users can seamlessly transfer digital dollars, without having to type crypto addresses. 11 million TON will be distributed among USDT users on TON to incentivize its adoption in the ecosystem. Tether […]
Bitcoin News
Ethereum Fueled Up: Will 320 Million USDT Inflow Ignite Price Surge?
The winds of change are swirling around Ethereum (ETH), the world’s second-largest cryptocurrency. While the Ethereum network itself is buzzing with activity, the price of ETH has taken a tumble in recent days, leaving investors scratching their heads.
A glimmer of hope emerged with Tether’s (USDT) recent movement. Tether, the issuer of the world’s most popular stablecoin pegged to the US dollar, transferred a whopping 8 million worth of USDT from its treasury wallet directly to exchanges on the Ethereum network.
This outflow suggests potential anticipation of increased demand for USDT, which could, in turn, signal rising investor interest in the broader cryptocurrency market.
Historically, Tether has minted large amounts of USDT during periods of heightened crypto activity, and the rumor mill now churns with speculation that another billion USDT might soon be minted specifically on Ethereum.
However, analysts caution against blind optimism. While an increase in USDT activity could bode well for Ethereum, it’s not a guaranteed path to prosperity.
Other blockchains, like Tron, are also capable of handling USDT transactions, offering investors alternative avenues.
Price Woes And Investor Sentiment
Meanwhile, the price of ETH has stubbornly refused to cooperate. As of today, ETH is trading below the crucial ,000 mark, having dropped by nearly 3% in the last 24 hours.
Ethereum has lost 11% of its value in the last seven days, data from Coingecko shows.
Related Reading: Toncoin Unleashes DeFi Monster Growth: TVL Soars 300% In A Month
A further price drop below ,000 could trigger panic selling, exacerbating the downward spiral.
The current situation presents a complex picture for Ethereum. While Tether’s recent move and steady network activity offer slivers of optimism, the declining price and NFT market correction paint a contrasting picture.
A Hive Of Activity Despite Stress On Price
While the price of ETH might be feeling the heat, the Ethereum network itself is humming with activity. Unlike the recent slump in the NFT (Non-Fungible Token) market, overall network usage has remained remarkably consistent.
This suggests a shift in focus within the Ethereum ecosystem. While the flamboyant world of NFTs might be experiencing a temporary correction, other sectors within Ethereum are picking up the slack.
The rise in DeFi (Decentralized Finance) transactions, stablecoin swaps, and general token activity could be the hidden forces keeping the network busy.
Featured image from Pexels, chart from TradingView