Hi There,
I have been looking at the correlation between the price movement of Bitcoin (BTC) and Tether (USDT) and it looks like when we have a quick price increase on Bitcoin, we have a decrease in the price of Tether.
For this example, I will be using June 25th 2018 @ 23:45 UTC which is when the price of bitcoin went from 5870$ to 6200$.
We can see that during that time, the price of Tether went from 1.03$ to 0.97$.
The question is, what will happen if Bitcoin will enter a major bull run and increase my thousands of dollars in a short period of time ? I also noticed that the price of Tether is moving slightly before the price of bitcoin, and not the other way around.
My thoughts are that Tether price will see a substantial dump and people will sell Bitcoin to acquire 'cheap' Tether and I think this is scary because it would mean that the price of Tether dictate the price of bitcoin.
I thought Tether should always be worth 1.00 USD ...
Please share your thoughts.
