Tether On-Chain Transaction Volume Reaches Two-Month High
- Despite a pullback in Bitcoin’s price following fake news about a Bitcoin ETF approval, BTC remains relatively strong in comparison to the rest of the crypto market.
- The top 10 wallets currently hold a quarter of the entire USDT supply, and the on-chain transaction volume of the leading stablecoin has reached a two-month high.
- This increase in USDT accumulation is a positive sign for Bitcoin and the crypto market, indicating an increase in purchasing power.
According to Santiment, Tether whales are accelerating their USDT accumulation, which might imply a potential upward move for Bitcoin!
Tether Whales Accumulating USDT
Despite a pullback in Bitcoin’s price following fake news about a Bitcoin ETF approval, BTC remains relatively strong in comparison to the rest of the crypto market. As of the time of writing, the BTC price is trading at over $28,500, up 1.9%. However, given the significant accumulation of USDT by the largest Tether wallets, Bitcoin’s price will likely rise further.
According to on-chain data provider Santiment, the top 10 Tether wallets hold 25% of the total USDT supply. These major Tether wallets witnessed a significant increase in accumulation during yesterday’s crypto market activity. At present, the top 10 wallets hold a quarter of the entire USDT supply, and the on-chain transaction volume of the leading stablecoin has reached a two-month high.
Furthermore, Tether is experiencing increased on-chain activity due to rising investments in various exchanges. At the same time, Bitcoin whales are also accumulating significant amounts.
How Can USDT Accumulation Help Bitcoin and Crypto Rallies?
The increase in USDT accumulation is a positive sign for Bitcoin and the crypto market, essentially indicating an increase in purchasing power. Renowned crypto analyst Crypto Researcher stated that historically, every $2 billion USDT inflow corresponds to a 4% increase in Bitcoin’s price. In this context, if the ETF market sees an injection of $16 billion in capital, the Bitcoin price could potentially surpass $37,500.
The crypto analyst illustrated the above example showing Bitcoin’s 10% increase without any official statement. In this scenario, the actual approval could potentially have a more significant impact, with a rally of 20-30% appearing as a reasonable expectation. This would accommodate the influx of $16-24 billion into Bitcoin ETFs.
Meanwhile, Bitcoin analysts continue to remain optimistic about the approval of a spot Bitcoin ETF. Recent events indicate investor appetite for when a spot Bitcoin ETF is released.