With the close of April, the cryptocurrency community can look back at one of the most tumultuous and exciting months in recent memory. From Bitcoin’s ascendance over $5,000 to the Bitfinex-Tether fiasco, April was a busy month for the cryptoverse. And according to many analysts, the market’s behaviour over the ensuing episodes is yet another sign of the crypto-winter’s departure.
Thomas Lee, Head of research at Fundstrat Global Advisors, is of this opinion. He backed the market’s ability to hold on to its high, despite the New York Attorney General’s report suggesting that Bitfinex borrowed over $700 million from their USDT reserves to cover up its undisclosed losses.
In a recent series of tweets, the heard researcher suggested that if this news broke out in “mid- to late-2018,” the crypto market would have fallen owing to “panic liquidations.” The “relative calm” in the overall market is a sign of the end of the crypto winter, he added.
His tweet read,
“If this tether #USD $USDT story broke in mid- to late-2018, the crypto market would probably seen panic liquidations across the board
Another sign crypto winter is ending? The fact that relative calm in crypto market despite tether news? @bitfinex @Bitfinexed”
However, Lee cautioned that a week’s holding behaviour wasn’t substantial evidence of a bullish swing. If “this is still the case 2 weeks from now,” it would be another indication of the crypto-winter’s exit, he added.
The Bitcoin bull concluded his tweet by reaffirming his belief in the importance of the top cryptocurrency. Lee’s praise for Bitcoin does not fall far from the coin’s performance. In this month alone, the king coin managed to increase its market dominance from the cusp of majority to 54.2 percent, at press time.
Lee even responded to comments ridiculing the Tether news, comparing its lack of complete one for one backing to the top fiat currency in the market, the US dollar. Lee responded by taking a shot at the traditional financial sector, stating,
“The USD is an IOU anyways.”