The pouring of $50 million tokens by the Tether treasury prompted Bitcoin value to march its way up to $7000 mark,with initial purchase on 27th August. The infusion immediately impacted the cryptocurrency price pushing up Bitcoin [BTC] value above $6,900.
Going by a Cryptoinvest report, previous instances of USDT intervention have also brought about price variation. After the token input is over, the most valuable digital asset witnessed 53% rise in the overall market cap. In the same scenario, USDT experienced a jump of almost 22% of trading quantities. At a time when the crypto value hovered around $6,400 and $6,700, this price hike took place.
At around 12 am UTC, the sudden rise in Bitcoin price occurred and in nearly 30 minutes, the price of the virtual asset rose from $6,766 to a level of $6,900. Taking into consideration the 7th August hike, the coin is currently posting the greatest cost.
With the Bitcoin price shining and faring well in the market, the other altcoins followed an uptrend. Ethereum and Ripple’s XRP, the second and third most valuable coins in terms of market cap have showed significant gains with IOTA [MIOTA] experiencing 17% increase in a span of 24 hours, which records the maximum gain in the list of top ten digital currencies.
The positive anticipation of Fundstrat’s Tom Lee about Bitcoin reaching its highest mark by the year end is immediately followed by this price hike. In a interview with CNBC, Lee shed light on the relationship between evolving markets, hedge fund financial investment and the Bitcoin price.
“Until emerging markets start to transform, I assume in some ways that relationship is mosting likely to hold and tell us that type of the danger on mindset is those customers aren’t getting bitcoin,” he said. From the very beginning of this year, Lee has high hopes about Bitcoin performance and expected the coin to end the year with a trading value of nearly $25,000.