Bitcoin Forum

Has everyone heard a showdown around USDT? At the moment, Binance is buying bitcoin for tether to secure its funds. Have you seen how the amount of USDT decreases on Binance? How to see the volume of tether on the exchanges answer below?

Hope you know tether belongs to bitfinex exchange and not binance exchange so how can you ascribe this increase in the price of bitcoin to binance buying bitcoin to support tether, do you have any Link to back your new because that is the only way we can believe your news. And if I can ascribe the increase in the price of bitcoin to any thing It simple that is increase in the demands for bitcoin on the exchange.

except that an altcoin exchange has no place in bitcoin market and determination of its price against fiat which is mainly USD among other currencies. not to mention that buying bitcoin with an altcoin is not going to increase its price. it is like saying if you buy bitcoin with litecoin, dogecoin, ethereum,... its price is going up!!!

You might be right because Tether was sue acouple of days back by NY Attorney General for joining force with the Bitfinex exchange concern a certain fraud and what I heard is that Tether will provide some necessary document to proof their innocent but I'm not aware about any update maybe Binance CEO have figure out something fishy.

I can assure you, this has nothing to do with Binance buying up bitcoin with Tether, and it does not make sense since Bitfinex and not Binance has association with USDT. If anything, this is just traders following some sort of sign and feel like buying now is the right time before the price leave $5000 levels for good. No good news seem to complement with what's happening in the market right now and I think no single explanation can satisfy the question of what's happening right now.

Still if bitcoin going up the other altcoins will be up also pairing with bitcoin. If it going low on altcoins it mean someone dont want the price of altcoins to going up also. Its just a matter of market condition nothing special.

Firstly, until now no one know if Tether and Bitfinex actually belong to the same person but we knew is that they were both sues for scam. However, the deal document between the two company is yet to be release.
Secondly, there's possibility that the Atom trading pairs which was said to be announced by Binance (https://ambcrypto.com/binance-announces-atom-trading-pairs-with-stablecoins-abstains-from-pairing-with-tether-usdt/) could be one of the rreason for the current surge in price of bitcoin market as the OP said.

Instead of being headache figuring out why bitcoin increases/decreases, why not enjoy the show, mate? Trade and accumulate your bitcoin. Anyways, if Binance wanted to buy BTC to secure its fund, it wouldn't buy in so loudly that BTC pumped to $6k.

I guess you need to research more. Binance has nothing to do with Tether whatsoever. No one cares about Tether though, what causes the price to grow is that there is more demand, simply as that. And there's a lot of good news like this, Fidelity Could Ignite the Next Bitcoin Rally (https://hacked.com/fidelity-could-ignite-the-next-bitcoin-rally/).

I don't think binance is behind this bump, looks more like bitcoin is getting ready to hit the moon on dicember, that's how bitcoin roll 1 or 2 bad years and an epic december.

If binance were the one behind de bump it would be a crash for all that tether drama and not a bump.

It doesn't matter whose is Tether.
Every holder of this coin would be in trouble is something goes wrong, and there are crazy rumors about that right now. Every one is trying to secure their positions so it could be a point that individuals sell bitcoin for tether.

Well there could be another reason for this run up or upcoming like fidelity rolling out trading in few weeks? I don't know what impact they will cause on price, I'm waiting to see it through.

As i use Binance, i don't think Binance buy bitcoin for USDT, the Tether problem was on Bitfinex, i also want to post a link or proof who show what exchange exchange USDT for bitcoin.

if they find out that the USDT is not backed up to the dollar, what will happen to it?

Tether, Bitfinex Stay Afloat Amid Controversy (https://cointelegraph.com/news/tether-bitfinex-stay-afloat-amid-controversy)


it seems to be the same person who owns both. But this does not matter much because there are already many alternatives to tether

To me the reason why we are experiencing this bullish trend is not about a particular exchange (binance) buy bitcoin because of usdt or tether but the bearish trend that started in December 2017 has ended in December 2018 and the market has no any other options than to recover.  Cryptocurrencies market is a dynamic market and anything can happen at any time but this time I think it is a recovering face and we should expect more bullish trend in days to come.

USDT holders (at binance and elsewhere) are probably buying bitcoin to secure their funds. that's why USDT is trading at a higher price than the rest of the market.

i don't think binance holds much (if any) USDT in its reserves. there's no reason for them to take on that risk. they just hold USDT on behalf of customers. so if USDT goes to $0, binance won't lose anything.  


indeed, i've been trading USDC on binance lately and the books have thickened up a lot---more than enough liquidity for my purposes. this is great because binance is one of the few places where i can trade without KYC, and USDC feels 100000x safer than tether.

If this was the case then USDT's days being a stable coin will be over. Tether has been a solid crprotucurrency in terms of protecting your capital in volatility and it had little to no effect to it in terms of its price now that if this happens all trust will be lost and hodlers will imediately sell their position in a heart beat. By the way if you are really clueless to what is really happening and you are interested in answers you shouldn't have a misleading title to catch our attention, that's really an awful thing to do with your fellow members.

there is no relationship with binance but people that trade USDT from bitfinex just convert it to the bitcoin massively. https://news.bitcoin.com/new-york-prosecutors-demand-transparency-from-bitfinex-and-tether/
I have no idea about binance and it looks like people that put their money on USDT was throwing all of their USDT back to the bitcoin again. Just open tether on marketcap and you will know the volume for tether in any exchange sites. But this is not having high accuracy.

It's quite amazing how rapidly the volumes have picked up of the alternatives the moment Tether once again messed up. PAX has currently 178.5 million tokens in circulation, and is doing almost as much in volume, which is very impressive. Coinbase's USDC has some catching up to do in that regard, but growth is growth regardless of how you look at it.

I'm certain that if Tether didn't mess up alternative stablecoins would remain stagnant for a long time. People as always need these events to wake up and acknowledge how serious the situation actually is. One must be an utter fool to hold any amount of USDT knowing that Bitfinex can be over and done the next day.

Like others, I don't think that it is all about with what you are assuming OP.

Latest news is all about Fidelity offering crypto trading within few weeks so that's really the possible reason why the market is taking its lift at these times. And as per assumptions, it's most likely that we're starting to get out of bear season.

Right, that Fidelity news could have spark something in the last 24 hours or so. But it will take weeks before they can finalised though. Anyways, speaking of Binance, they've confirmed that a hacked occurred. So far we haven't seen the effects because the price is still above $5800. But as far as the OP's questions. Binance and Tether doesn't go along, lol.

the op did already figured out on what is the cause of the increase but alot of users just cant agree with him .  even myself i cant also agree with the op becuase i heard that it was bitfenex that owns usdt and not binance  but your right meyt  , instead of debating about the price hike  , why cant we just enjoy it ?  the price hike was a blessing and not a curse but people arent still contented with it .

I really think the Technical Analysis of the price has already hit the bottom and we are heading in a big surprise anything may happen when we are at the beginning of Bull Run, And the infrastructure that had built over that bear market and through the years that is why we have plenty of cryptocurrencies exchange now, Great idea that is implemented right now that is the bitcoin protocol, There are many reasons we can see and tell on what is happening right now with the price.

why would Binance who doesn't control USDT and also has its own token called BNB (Binanc coin) buy bitcoin with USDT which they have to pay to buy themselves elsewhere just to "secure its funds"?
not to mention they got hacked recently and it is all over. and as you can see bitcoin price is still on the rise as it has been for the past couple of months.

Exchange hacks seem to have less and less effects these days on the price of Bitcoin. When MtGox was insolvent a few years back the markets crashed and same happened with that Bitfinex hack back in 2016.

This month we had issues with Bitfinex and Binance and the market dipped and recovered. Same with the Cryptopia and Quadrida issues we had at the beginning of the year. These bad events didn't drag prices down as we might of assumed.

I think one reason for this is that we have more exchanges these days and most people hold their coins on a hardware wallet or in some form of cold storage.

Maybe people are getting used to seeing exchanges getting hacked on a monthly basis that it's no longer a reason to panic and dump their coins  ::)  (and why would they, though? you got coins in an exchange? just move them to your own wallet) I mean, nowadays, it doesn't seem like the price it's going to crash to oblivion like it did back in the day after an exchange gets hacked, we'll see a small dip, but after a few days, it's all back to normal.

Your statement is kind of ironic if you consider the fact that people expected the recent news on tether to negatively affect the price of bitcoin. But instead the price fell a little bit and shoot up again.

I don't see any connection of why Bitcoin would drop just because of the recent news of Tether. Bitcoin price may go down a bit because it's just normal in the market since a lot of people are trading now. Especially that they have seen the bull run is already started and we just have to wait for the halving to finally shoot the price to the moon.

i think it partly depends on the magnitude of the hack.

at 2014 valuations and exchange market share, the mt gox collapse was massive. so was the 2016 bitfinex hack. post-2017 bubble valuations, the 2019 binance hack pales in comparison. binance can cover this hot wallet hack in less than 2 months based on its current revenues.

more importantly is the current sentiment of the market. i take the market's swift recovery from this event as a sign that the market is still in a bullish phase and will probably do another leg up.

Users also don't lose any money in this particular exchange hack, so the market's response wasn't as bad as it could've been if peoples' accounts took a haircut as a result of the hacking, though the losses aren't too big for an exchange like Binance. It's also currently not easily possible for anybody to trade in USDT for actual USD AFAIK, so the Finex situation actually meant there was a bit more buying pressure as a result of people buying BTC on Finex and other exchanges to exit Tether.

I dont know if this is real but it could be one good reason.

They are dumping Tether and buying bitcoin.
Hmm. Now what? Bitcoin is more secured and that is why they are using it as an escape pod.
From the start up until now, I hated that freaking coin USDT. It is made to explode and now here it is. Never used it and never even think about using it.
I am not the hype type where I will go with the flow of idiots. Now here they go, time to run.

Not enough reason for bitcoin to pump, it can be but too low for the probability. I guess, its time for the up now and the bull is really here so there’s no specific reason of pump its more on the demand now. The market is getting better without having any top good news, its a trend i think.

Although, the bitcoin market have been showing some tremendous strength in resisting to dump in price while it gain some slightly increase in price but the OP statement is enough to support the current pump in price which the market experienced now for we both know that news easily spread in crypto community and Binance also made statement which make me believed in the OP saying.

Price of bitcoin increases because it was to low. In December last year at $3200 Bitcoin was same as in February 2015 at $170.  Price will go to over $100000 in upcoming years.

You might be right to some extent, the world have now discovered that tether has been a scam all this while, I knew this from the beginning of their launch and I have never liked the coin for one day, though I can say that it has given me a lot of profit because I trade between tether and normal coin anytime we have a bearish market and I have always been making profit since tether is a stable coin and doesn't decrease in price since it was $1.