Crypto: USDT goes from bad to worse!

Tether may have reassured the crypto community after a series of depegs in its stablecoin USDT this year, but its instability is a major concern. Early this morning, it was reported that the asset had fallen to a very low level, raising doubts about a Terra bis scenario. Let’s take a look!

Tether USD goes downhill again

This year has seen much debate about the stability of the USDT. Indeed, on several occasions, this Tether stablecoin has lost its peg to the dollar. Last June, Paolo Ardoino, the company’s CTO, took to the stage to improve the image of Tether USD among users.

Earlier this month, USDT also suffered a short-lived depeg. This time, the Tether team pointed the finger at Binance’s boss, CZ. The latter had allegedly encouraged massive USDT sales on Kraken and Huobi for destabilizing purposes.

🚨 the cartel is having an increasingly difficult time manipulating/propping crypto prices up while maintaining $USDT peg

As they catch the falling knife to prevent $BTC from going off a cliff, $USDT falls deeper into a depeg. Liquidity is almost completely dry causing the slip pic.twitter.com/aRMcF21nNb

— Rho Rider (@RhoRider) August 14, 2023

It seems impossible to name the “cartel” referred to by Rho Rider in this tweet. But our research into USDT price fluctuations proves a descent, albeit short-lived, in its value.

The images pinned to the above publication highlight a USD Tether at $0.9988 on the USDT-USD leg. As for the BTC-USDT parity, the stablecoin posted a price below $29,200.

As we know, USDT was also trading at 0.9968 on Tuesday, August 8 on Coingecko.

Price manipulation and collateral damage

As for the “manipulation” of bitcoin and cryptocurrency prices, we covered it extensively a year ago.

In a previous article, we highlighted the fact that bitcoin and all the promises that come with it are troublesome in the eyes of traditional financial institutions.

Equally, we’ll note the existence of other types of price manipulators on the side of the enthusiasts. Already, Tether has denounced major transactions carried out by Binance-funded addresses. This has caused significant liquidity problems for stablecoin issuer USDT.

Jim Cramer, an avowed crypto-skeptic, has already warned of the existence of bitcoin price manipulators in high places. That’s why the queen of cryptocurrencies was back in the news earlier this year.

In the cryptosphere, stories of price manipulation are legion. Even Dogecoin’s biggest advocate, Elon Musk, has been accused by some DOGE investors of doing just that.