The recent increase in the value of the U.S. dollar is causing large investors to withdraw from the cryptocurrency market, as evidenced by last week’s institutional net flows. Investors withdrew from the cryptocurrency market as the assets of Bitcoin and Ethereum experienced a major decline.
Peter Brandt recently talked about a recent report that showed Tether (USDT) holders are getting more eager to sell their holdings. The report was published on Bloomberg.
Brandt asserts that he would never continue to have assets in Tether. He continued by saying that it is, to put it bluntly, inconceivable that cryptocurrency maniacs would criticize the US Dollar while holding Tether-denominated assets.
According to the Bloomberg story, USDT had a 65 percent participation in a “liquidity pool” on Friday, which allows traders to swap between the three most widely used stablecoins.
The stablecoin’s critics have demanded a thorough audit in place of the third parties’ attestations, which are already in place. Tether has been increasing its exposure to US treasury bills and reducing its exposure to commercial paper in order to keep its reserve as liquid as possible and eliminate it within the next few months.
Brandt Still Positive on BTC
Brandt has a positive stance on Bitcoin and has claimed to have spotted a sign suggesting a potential uptrend for the commodity.
He has identified one situation that might portend a rise in the price of bitcoin. According to Brandt, Bitcoin may now be able to recover from the 70 percent decline it had during the worst bear market for the most popular cryptocurrency ever.
However, Brandt predicted that the price of Ether, the second-largest cryptocurrency in the world by market capitalization, may go as low as $300. Brandt added that he wouldn’t be using his worst enemy’s money to buy the most popular alternative cryptocurrency in order to stress the severity of his pessimistic view.