In a recent analysis, cryptocurrency analysis company CryptoQuant shed light on the relationship between the circulating supply of Tether (USDT) and the price of Bitcoin.
According to the published report, there has been an increase of approximately 30 billion in the circulating supply of USDT since the end of 2022. Traditionally, each increase in supply has had a positive impact on the development of BTC price. According to CryptoQuant, this correlation is consistent and one of the main findings of the analysis.
CryptoQuant chart showing the correlation between USDT supply and Bitcoin price.
According to analysts, BTC is bullish in the context of these USDT supply increases. The market has witnessed a turnaround in the Bitcoin market and signs of increased liquidity. According to analysts, this can be attributed to new capital inflows, possibly driven by the prospect of a Bitcoin spot ETF and increased interest from investors.
Data analysis reveals a high correlation between USDT supply and Bitcoin price movement. According to analysts, this correlation has led to an increase in volume and a dynamic environment for the BTC price.
*This is not investment advice.
