The company behind the Stablecoin Tether, which is supposedly fully covered by Bank reserves, has printed a few hours ago, 250 million new USDT-Tokens. The entire crypto currency market responded (out) very positive, and writes consistently in the green. Bitcoin could rise at the time of writing around 550 USD within an hour.
As we reported, was released a few days ago, a study has found that the Printing of new Tether correlated with market downturns, time and led to a significantly increase in the Bitcoin price. The study shows that there are patterns to prove that in crucial moments for Bitcoin, new Tether have been issued. According to the study, Tether was in December, a key reason that Bitcoin has reached a record price of $ 20,000.
The potential magnitude and investigate the effect of the Tether emissions on the Bitcoin price, has investigated the study, the period from March 2017 to March 2018 and the largest combined Bitcoin and Tether Cash-Flows observed. Overall, the authors have been able to make so 87 events. These 87 events make up less than 1% of the observation period, were, according to the study, but for 50% of Bitcoins price increases responsible. In times when Bitcoin increased in price, according to the researchers, was held, however, none of the 87 largest combined Cash Flows.
Until recently it was unclear whether the Tether Limited owns sufficient U.S. dollars as Bank reserves, to cover USDT complete. According to the most recent allegations of market manipulation, published Tether a document in which it was claimed that all USDT-data backed up by the US Dollar. The confirmation was issued by Freeh Sporkin and Sullivan, LLP, the access to Tethers accounts at two banks. Nevertheless, there are doubts about the for Many.
250 million Tether were printed
Many, as is Charlie Lee, the pressure of the Tether signs of a reversal in trend and a bull market:
Lee explains in the Tweet that, in General, the tether pressure is a precursor to a price rise. Tether is printed, if people pay in USD, and USDT. USDT is used to buy crypto. This was according to Lee, with a market comparable, where 250 million are to be deposited.
The last tether of print on 18. The end of may, as exactly the same sum of 250 million Token was printed. The market then reacted positively and experienced a direct increase in a massive rate. Today, a similar response of about 16 h was observed, as the price of Bitcoin from around 5750 USD increase to 6300 USD.
The Ethereum rate is also increased from 420 to 465 USD and can be recorded at the time of writing a significant price increase.
If it is only a short-term Pump or whether a trend reversal can be used to initiate, from our point of view, however, to be seen.
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