CoinMarketCap data shows that Bitcoin prices rose above $67,000 for the first time since April 24. Prices rose 2.9% on Friday. The new Consumer Price Index (CPI) data shows that inflation remains low, which is what caused this rise.
But Bitcoin’s performance depends on many different things. LookonChain, a blockchain analysis tool, predicts a possible rally after the supply of stablecoins grows. LookonChain said through X on Friday that the Tether Treasury created an extra 1 billion USDT. This shows that demand for the stablecoin is growing.
With a market cap of $111.25 billion, USDT is the third-most valuable cryptocurrency. It has grown a lot in the past year, with over 31 billion new tokens coming out on the Tron and Ethereum networks.
USDT Influence On Bitcoin
It is said by LookonChain that this rise in USDT is a major reason why BTC has gone from $27,000 to $73,000 in fifteen months. The idea behind it is that purchases in USDT make the market more liquid, which changes the way supply and demand work and raises the price of Bitcoin.
Many investors think that the new release of 1 billion USDT will have the same effect on Bitcoin’s price, especially since we are in the middle of a crypto bull season. There is, however, another market for BTC that will have an effect on its future price: the BTC spot ETF market.
SoSoValue data shows that the Bitcoin spot ETF market value went up to $12.58 billion on Friday due to net purchases of $177.01 million. BTC is likely to see big price and demand increases as more standard financial players enter the market.
At the time this was written, Bitcoin was worth $66,853. This is an increase of 9.64% in the last week. As it tries to break through the $67,000 level of resistance, the top coin is consolidating.
During the crypto bull season, Bitcoin is still one of the best investments, but investors should do a lot of study before getting in.
