Bitcoin (BTC) Price Jumped to $8,100 on Tether (USDT) Inflows
BTC recovered from recent lows around $7,600, and the new climb coincides with growing inflows of USDT on all networks.
Bitcoin (BTC) jumped to new price tiers on Wednesday, finally making the vault to the $8,100 level. The sudden price appreciation regenerated accusations that the price spikes were engineered.
BTC traded at $8,131.07 as of 5:20 UTC on Thursday, on volumes of around $18 billion’s equivalent, of which 72% in pairs with Tether (USDT). The recent appreciation of BTC follows a series of new USDT inflows, printed mostly on the Omni Bitcoin layer and on the Ethereum network. Now, USDT in circulation exceeds 3.35 billion based on CoinMarketCap statistics, with another 800 million in total USDT on the Ethereum network.
During the latest price climb, BTC was most active on Coinbase, Bitfinex, Bitstamp, and Kraken, suggesting a return of US-based investors. But activity on Asian exchanges is also high, turning into one of the causes for the increased printing of USDT.
Skeptics also see concerted bot-based manipulation, as Bitfinex remains highly influential:
There is further evidence that the price climb on Wednesday afternoon coincided with a spike in Bitfinex activity:
Beyond BTC, the altcoin attracting the most attention remains Litecoin (LTC), which may be shooting for a higher price range ahead of the block reward halving in August. LTC reached a daily peak at $142.71 on Wednesday, moving down to $135.07 as of 6:21 UTC on Thursday. The asset is seen as a sign of increased enthusiasm, and the LTC climb was one of the triggers for the rally in the past three months.
BTC is now fighting to achieve robust performance in June, as usually, this would set the pace for the entire summer. A positive June performance historically triggers climbs in the months afterward. BTC started off the month with levels above $8,000 and closer to $9,000, but uncertaintly depressed the prices.