USDT’s market capitalization, Tther Stablcoin, is over $143,000 million.
This increase not only reflects greater emissions of the most valuable stability, but also greater liquidity in the market.
It maintains a 1:1 parity in US dollars. USDT allows investors to protect cryptocurrency capital Without being directly exposed to the volatility of the digital asset market.
As reported by Cryptoics, this increase in USDT is consistent with market uncertainty. Most cryptocurrencies that make up the top 100 market capitalization records are over 10%.
This bearish trend comes from fear created by the trade wars promoted by US President Donald Trump, and the fear of the possibility of a recession in the country.
In this context, Julio Moreno, research director at Cryptoquant, explained: The greatest stability, which is the acceleration of USDT’s market capitalization, is a signal for increased liquidity or a new capital entry into the cryptocurrency market.”
To maintain that debate, experts share a graph showing the relationship between changes in USDT market capitalization and Bitcoin prices from 2023 to the present.
The black line represents BTC price movements, while the blue point reflects 60 days of USDT capitalization change, indicating liquidity in and out of markets.
For that part, the purple zone corresponding to the simple mobile average (SMA) of these changes helps to soften variation and highlight wider trends.
Finally, a grey line appears Prove the daily changes in USDT capital, market liquidity flow.
Simply put, the graph shows that a larger USDT issuance usually means more capital entering the market. This will promote BTC prices. On the contrary, as the capitalization of the stable rock decreases, there is a deeper pressure on the currency created by Nakamoto Atoshi.
Despite the optimism that awakens this metric, it must also be revealed Stubcoins such as USDT are also used in decentralized finance protocols (defi). To generate yields, the direct impact on the Bitcoin market can be reduced.
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