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Bitcoin and cryptocurrency investors are preparing for the long-awaited bitcoin cut in half this month, which will see the number of new bitcoin entering the market cut in half.
Bitcoin’s price has skyrocketed this week and is now a strong contender for 2020’s best-performing asset, rising to more than $ 9,000 per bitcoin for the first time since late February.
However, while many traders are betting that bitcoin’s price will rise as a result of this month’s power outage, the latest bitcoin bounce may have occurred for entirely different reasons.
Bitcoin’s price has rebounded strongly since its sell-off in March, with many bitcoin investors … [+]
Shortly before bitcoin’s 20% recovery this week, a large transfer was made from the stable bitcoin strap to bitcoin and to the Binance cryptocurrency exchange.
Tether is a stablecoin pegged to the U.S. dollar individually with its creators claiming to hold one U.S. dollar in reserve for each anchor token issued.
The Tether tokens worth just over $ 50 million were transferred to Malta-based Binance early Wednesday just hours before Bitcoin started its $ 30 billion pump.
A Twitter bot that records the main bitcoin and cryptocurrency exchanges, called Whale Alert, collected the transaction.
Over the past month, Tether Ltd, which controls the stablecoin link and shares owners and top staff with the British Virgin Islands-based bitcoin and cryptocurrency exchange, has increased its number of connections it is creating , minting more than $ 1 billion in stable currency.
“[On Wednesday we] it witnessed extensive purchasing activity and the high level of scalability and liquidity evident on our platform allowed us to seamlessly address all of these requests, “Bitfinex chief technology officer Paolo Ardoino, who also serves as director of Tether technology, in a statement that pointed to Coinbase’s unfortunate disruption to the U.S. bitcoin and cryptocurrency exchange during the sudden bitcoin rally.
Bitcoin suddenly skyrocketed earlier this week, surprising many traders and investors off guard. … [+]
There are currently some 6.3 billion anchor tokens in circulation, compared to just 18 million bitcoins.
Last year, it was suggested that around half the value of bitcoin between March 2017 and March 2018 was created by exchanges between bitcoin and tether: Casting doubts about whether Bitcoin’s 2017 epic bullfight happened organically.
Many have called for Tether’s dollar reserves to be externally audited amid claims that tether’s dollar fixation “is no longer credible.”
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