So you're saying that Tether pushed BTC from $150 to $20,000 But Tether is not there to support BTC crashing from $20,000 t $3,000 Also Tether pushed BTC from $3,000 to $69,000 But Tether is not there to support BTC crashing from $69,000 to $18,000 Got it now, RedDuke. Seems very simple
Look at data. They burning and not printing tethers. The moment they stopped BTC raise stopped. If they resume, so will BTC move up.
Liquidity comes in, liquidity goes out Big investors buy Tether with fiat so they can buy crypto assets like BTC and ETH Big investors de-risk and selloff crypto assets for Tether and redeem for fiat No matter what Tether has increased in supplies through the bear markets because more money from big investors are coming to the space Don't worry about it and continue with your beliefs about Tether We'll see how it goes year after year as you wait for Tether to collapse and I wait for BTC to hit $100K, $200K, $500K, $1M....
Big investors do not buy tether to buy BTC, they just buy BTC outright, no one will give billions to BitFinex, who are under investigation.
Hehe. Really? So you have to pick a decade old, irrelevant to the topic at hand quote to do a strawman? I proved to you that cryptos are easily banable. End of story. If for whatever reason they decide to ban it, price will plummet. Remember, abortion was legal for 5 decades and not it is not so much...So things can change. Yes, something can have multiple bubbles.* Didn't it drop back to 10 dollars? It did! You are a Johhny come lately, started to invest in BTC just about at its pick and now you are down 60% in 7 short months. I shouldn't mention it but you like a strawman, plus this explain why you want to BELIEVE in it. Understandable, just not acceptable. * BTC has dropped more than 70% like what, 6 times? If that is not the very definition of a bubble I don't know what is...
Damn guys, you really like to turn-the-screws on him. LOL! That said... Pekelo, just so you are aware, it is OK to change your mind on something when you start to realize you have been wrong... I used to be very skeptical on crypto in 2017, expected it to collapse (and it did). Then a couple years later I checked-in and after seeing everything that was built in DeFi, and having been a coder myself to realize where the future is, I then changed my analysis and have been long ever since. At the moment, I am still long on CeFi, and am using DeFi as a hedge. This lets me sleep at night. I will probably add some more bank-stocks as the recession bleeds deeper, and deeper. As for crypto, I just keep buying more with monthly dividends.
peke'r doesn't see my posts. Saves me the trouble of doing the same to him. He obviously never made a trade in his life. Too busy bitching.
Out of curiosity, why do you think it won't be BTC? I can't say for certain that another blockchain won't come along, but we will see it coming from a mile away, and it will have to improve in many areas in order to take over. It will have to be just as decentralized, and this takes time. It will truly have to be open source and have no party that can push it one way or another. The tokenomics will have to be like bitcoin in that there isn't a pre-mine awarded to the creators, and I think it has to be based on proof or work. There is simply no trade-off if you value the security and robustness of bitcoin. When you do some good research into PoW vs PoS, you quickly learn why PoW is superior. I watched a video on Monero and liked that even after all initial coins are mined, there is still the ability to I think earn 0.6 coins per block in addition to the fees, and I think this is smart in order to keep the blockchain attractive to miners at a very slow inflation rate. There was also something about variable blocksize that self adjusts based on market conditions and financial incentives, and this made sense too. So its possible that a new version of bitcoin can be released and if the market jumps at it, then bitcoin can fade away. But if this new coin would have all the strengths of bitcoin, then why would people risk putting so much effort into a copycat?
I think John answered this well when it comes to why tethers are being burned. But I will give some tether FUD that I think is plausible. Since we have seen how companies like Voyager or Celcius were taking very risky bets with funds that weren't even theirs, its highly possible that the funds backing Tether aren't in highly liquid and safe investments. I wouldn't be surprised if their assets at this stage of the crypto winter phase are nowhere close to matching how much tether is out there, hence I doubt the 1:1 backing. So if all tethers had to be redeemed, I bet tether would also crash and burn. What this number is, I don't know. 20B, 30B... who knows. But since their books are closed, and since much of tether sounds like its locked away, they probably have enough liquidity on hand to meet redemptions. But of course if they had lots of money with 3AC, then all bets are off. The beauty of tether seems to be that only institutions are able to redeem tether for USD, but someone correct me if I'm wrong. This means that they are perhaps more insulated from a bank run than outfits like the above two which deal with retail customers who of course run for the hills at the first sign of trouble.