• Advertise
  • Submit a Press Release
NewsBTC
Bitcoin & cryptocurrency news
Crypto.com Logo
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Events
  • Play GamesTry
  • Play Casino GamesTry
No Result
View All Result
Breaking News: Bitcoin Soars to $21,500 On "Hated Rally," Is There Fuel To Keep Rising?
  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Events
  • Play GamesTry
  • Play Casino GamesTry
No Result
View All Result
NewsBTC
No Result
View All Result
Breaking News: Bitcoin Soars to $21,500 On "Hated Rally," Is There Fuel To Keep Rising?

Tether Volume Surpasses Bitcoin at $18 Billion: Should Crypto Investors Take it Seriously?

Samuel Wan by Samuel Wan
4 years ago
in Bitcoin, Cryptocurrency news
Reading Time: 3 mins read
Advertisement

In a continuation of bullish events this week, total volume reached an all-time high of $89 billion on the 3rd April. This compares to $28 billion when Bitcoin was at its peak in mid-December 2017. However, with accusations of fake volume still fresh on our minds, as well as Tether showing a higher volume than Bitcoin, investors should tread carefully.

What Does Volume Tell You?

Volume relates to the value of transactions traded in the market at a given time. For each buyer, there will be a seller. And when both parties agree on a price, that transaction contributes to the total volume. It follows that high volume indicates high interest. But more than that, volume is an indication of market movement. On defining volume, Investopedia says:

Get 30 FREE SPINS at Punt Casino - NO DEPOSIT REQUIRED! Start Playing Now.
No Deposit 40 FREE SPINS at Wild.io on SIGN UP. Wheel of fortune, daily bonuses, 10 BTC in prizes monthly! Start Playing Now!

“Volume is an important indicator in technical analysis as it is used to measure the relative worth of a market move. If the markets make a strong price movement, then the strength of that movement depends on the volume for that period. The higher the volume during the price move, the more significant the move.”

In consideration of this, many are interpreting all-time high volume as a positive change in crypto sentiment. But given recent reports of fake volume, it would be wise to exercise caution. Research conducted by Bitwise Asset Management showed that only ten exchanges, out of eighty-one analyzed, had any genuine trading volume. The rest consisted mostly of wash traded transactions to misrepresent activity. With that in mind, until authorities clamp down on wash trading, volume figures should be read with skepticism.

Dude, you really still trust in any of that reported volume?

— ALTriano Celentano (@ATHomiCrypto) April 3, 2019

Tether Controversy

Despite some controversies over the last year and a half, Tether is performing strongly. At the time of writing, it is the number one coin by volume, beating Bitcoin by almost $500 million. And it continues to be the most popular option for investors to move their crypto assets into stable form.

BitStarz Player Lands $2,459,124 Record Win! Could you be next big winner?

However, regardless of this, Tether has never managed to adequately address transparency concerns. In its white paper, there are details on “Proof of Reserves” backed by the US Dollar, this means that for every Tether in circulation, there is also $1 held on account. The problem is, no auditing firm has ever signed off on this claim. Matters are made worse by an apparent change in policy. The company now states that other assets may be substituted to make up that value — all without full disclosure on the nature of those assets.

Indeed, when Tether makes up a significant chunk of total market volume, warning signs should be flashing. One Twitter user, @Emperor_YZ, sees Tether volume dominance as a signal of a mass USDT sell-off, and a subsequent fall in USDT value. He expands on his prediction by saying:

“similar to bank run as their usd peg is not enough to keep usdt at 1;1”

And while that scenario may not materialize, for example, there is no other indication of a mass USDT sell-off, and, the company’s reserves may be sufficiently liquid if that did happen, it still pays to be vigilant, even during a bullish phase.

consequence will be a usdt run that will crash it to 0.6 or lower vs usd

— Bitcoin Badger (@Emperor_YZ) April 5, 2019

Featured Image Via Shutterstock

Tags: bitcoinfake volumetether
Tweet123Share196ShareSend
Win up to $1,000,000 in One Spin at CryptoSlots
Samuel Wan

Samuel Wan

Samuel Wan is passionate about different cultures and eating good food. He has years of experience working in business and finance — a burgeoning interest in Bitcoin and cryptocurrencies since 2017. UK based.

Related Posts

bitcoin mining difficulty adjustment

Bitcoin Mining Difficulty Touches New ATH Following 4.68% Adjustment

37 mins ago
Litecoin Whale Transactions Set New 2023 High, Bullish Signal?

Litecoin Whale Transactions Set New 2023 High, Bullish Signal?

4 days ago
Bitcoin BTC

This Is How The Bitcoin Price Will Be Affected By Macro: Charles Edwards

4 days ago
Bitcoin Bull

CryptoQuant’s Bitcoin PnL Index Forms Bullish Crossover

4 days ago
7 Crypto Predictions for 2023

7 Crypto Predictions for 2023

4 days ago
Aptos

Aptos (APT) Price Snowballs 147% As On-Chain Development Shoots Up

4 days ago

Premium Partners

Top Casinos

BitStarz

BitStarz

Review · Visit
Punt Casino

Punt Casino

Review · Visit
Metaspins

Metaspins

Review · Visit
Trust Dice

Trust Dice

Review · Visit
CryptoSlots

CryptoSlots

Review · Visit
Coinplay

Coinplay

Review · Visit
mBit

mBit

Review · Visit
Vave

Vave

Review · Visit

Sportsbooks

1xBit

1xBit

Review · Visit
Coinplay

Coinplay

Review · Visit

“Gold has been the best performing investment asset over the last two decades”: an interview with Easygold

January 30, 2023

The Crypto Dream Team: Binance Coin (BNB), Polygon (MATIC) and Orbeon Protocol (ORBN)

January 30, 2023

Polygon (MATIC) and Fantom (FTM) Are Losing Favor With Investors As They Turn To Snowfall Protocol (SNW) For 1000x Potential Gains!

January 30, 2023

Tezos (XTZ) shares its 12th protocol upgrade, Twitch Co-Founder’s Gaming NFT Marketplace Expands to Polygon (MATIC) Network while Snowfall Protocol (SNW) Breaks Record Highs

January 30, 2023

Snowfall Protocol Investors Happy After the Release of Snowfall DEX, Twitch Co-Founder’s Solana Gaming Platform Fractal Expands to Polygon, And Majority of Dogecoin Holders Are in Profits Despite the Meme Coin Being Down 87% From Its 2021 ATH

January 30, 2023

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Links

Crypto Prices from Nomics

Cryptocurrency news

  • Bitcoin
  • Ethereum
  • Ripple
  • Chainlink
  • Cardano
  • EOS
  • Tezos

Technical Analysis

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Ripple (XRP)
  • Chainlink (LINK)
  • Cardano (ADA)
  • Tezos (XTZ)

Company

  • Advertising
  • Comments Policy
  • Privacy Center
  • Sitemap
  • About Us
  • Contact

© 2022 NewsBTC. All Rights Reserved.

  • Home
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Events
  • Play Games
  • Play Casino Games

© 2022 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.