Tether exceeds 20 billion market cap

Tether dollar (USDt) has surpassed $20 billion in market capitalization.

At the beginning of 2020 the market capitalization of the main stablecoin pegged to the US dollar was less than 4.5 billion, but during 2020 it literally exploded, multiplying by a factor of more than 4.

The 10 billion mark was surpassed at the end of July, and since then it has doubled in less than five months.

The crossing of the 20 billion threshold took place yesterday, but it’s since 4 December that the final climb from 19.5 billion to 20 began.

The fact is that Tether tokens play a key role within the digital token ecosystem, as many crypto exchanges offer USDt exchange pairs, often even replacing USD ones.

In fact, some exchanges, including DEX, do not support fiat currency, so they cannot offer exchange pairs in US dollars (USD). The alternative solution is to offer exchange pairs in stablecoin tokens pegged to the dollar value, and among these USDt is by far the most used.

Tether, record volumes and market cap

Indeed, the average trading volumes of Tether tokens on crypto cash markets are the highest ever, more even than Bitcoin and Ethereum.

While more or less the daily trading volume in BTC is around $15 billion, and that of ETH around $20 billion, that of USDt exceeds $75 billion.

Tether is also increasingly being used for remittances, and in innovative projects in the digital token ecosystem, including those at DeFi. It should be mentioned that USDt exists on several blockchains, including, in addition to Ethereum, Algorand, Bitcoin Cash’s Simple Ledger Protocol (SLP), EOS, Liquid Network, Omni, and Tron.

In February 2019 there were about 2 billion USDt in circulation, now there are ten times as many.

Tether’s CTO, Paolo Ardoino, stated:

“As the year draws to a close, we can only reflect on Tether’s impressive growth. The market has spoken: people trust Tether and love using the most liquid and stable stablecoin. Tether will continue to be at the forefront of stablecoin innovation in 2021.”

Bitcoin expects retail traders to rise despite record high

Bitcoin has hit all-time highs several days in a row.

Many believe that much of this increase was caused by institutions.

The price may continue to rise in the coming weeks if the interest of individuals increases

According to data from Skew, retail traders’ interest in BTC has only increased slightly despite the crazy rise in Bitcoin during the holidays. What does this mean for the days to come, and will retailer interest return?

According to recent misconceptions, the price of Bitcoin has increased thanks to increased interest from institutions. Ever since Grayscale and Paypal started grabbing cryptocurrency faster than it can be mined, it looks like the price has kept climbing.

When BTC hit $ 25,000 on December 25 , the bulls didn’t stop. Interestingly, the $ 28,000 price Bitcoin hit on December 27th presented itself on one of the quietest working days of the year.

Due to the Christmas holidays, many major banks, businesses and other financial institutions are closed. If it was therefore the latter who paid the money, who are these whales that make prices climb even higher?

Retail traders?

Thus, although the interest of institutions is high, it probably determines the course and is dominant, the increase in vacancies cannot be explained by this factor alone. Indeed, between Christmas and New Years, retail traders must buy Bitcoin.

So $ 25,000 * on the 25th, three new ATHs: 24.7, 24.8 and $ 25,000 in one day. Do you think the institutions have done this? The day of Christmas ? Individuals did – only people near a keyboard.

(* $ 25,000 if you choose @bitstamp or @krakenfx although this is not really the case on @bitfinex)

However, according to the Skew study, retailer interest did not reach the all-time highs of 2017, when the infamous “bull run” raised BTC to nearly $ 20,000 for the first time.

To prove it, Skew came up with a graphic from Google Trends on the word “bitcoin”. In essence, this shows the measure of the number of times “bitcoin” has been searched for and linked to Google.

BTC still has room to go up

Even though Bitcoin is at its all-time high and the cryptocurrency’s market capitalization is also at an unprecedented amount, there is still room for growth.

”Korta dollarn”, säger den bitcoinvänliga amerikanska kongressledamoten, Warren Davidson

Amerikanska kongressledamoten Warren Davidson, en Bitcoin-förespråkare, twittrade på tisdag, “Short the Dollar.” Detta har varit ett svar på Twitter-kontot från Forbes Crypto som ber samhället att summera kryptovalutor 2020 med tre ord.

Davidson svarade med kortslutning av den amerikanska dollarn och hashtaggen “Sound Money”, med hänvisning till Bitcoin

Enligt honom är Bitcoin Evolution en “stor värdeförråd”, som han ser “som digitalt guld kontra en riktig valuta.” Men han äger ingen personligen. Davidsons svar utlöste en del, Rohan Gray var en av dem som skrev ,

“En annan lysande monetär insikt från en av republikanerna som motsätter sig #STABLEAct.”

Gray, biträdande professor vid Willamette University College of Law, har nyligen varit i rampljuset och hjälpt till att utarbeta den kontroversiella lagen om Stablecoin Tethering and Bank Licensing Enforcement (STABLE) .

Gray arbetade också med rep. Rashida Tlaib om Public Banking Act-utkastet, som introducerades i oktober, och en COVID-lättnadsplan för att investera i den digitala plånboken

Det senaste utkastet till STABLE Act kräver att varje stablecoin-emittent erhåller en bankcharter och godkännande från Federal Reserve och är FDIC-försäkrad. Denna räkning håller vidare de nodoperatörer och nätverk som dessa fiatbaserade kryptor kommer att ansvara för.

Enligt honom handlar det om den systemrisken som stablecoins utgör, och när de blir större skiljer de sig inte från andra stora finansiella institutioner. För honom, även om ett instrument utfärdas i ett decentraliserat nätverk, om det “försöker gå och prata som pengar och därför bär en systemrisk, bör det regleras som pengar.” Gray sa,

“Jag anser att decentraliserade nätverk inte är någon folkmassa där det inte finns någon ansvarig – att det finns aktörer du kan peka på som driver och styr och fattar beslut relaterade till viktiga delar av den infrastrukturen.”

2nd Labitconf 2020 opens with a lecture on trading for beginners

The explanation of the basic elements of trading opened the 2nd day of Labitconf 2020.

The second day of Labitconf 2020 took place on Tuesday 8th December, a space that is being held virtually and free of charge for all. To begin the day, the conference presented a panel entitled “Trading in Crypto for Newcomers”, which was led by Aníbal Garrido, a trader and educator in the area of cryptomone currency operations.

To begin his presentation, Garrido decided to define the elements of trading, and for this he outlined that trading is “the investment technique that consists of the study of the markets through technical analysis and fundamental analysis to invest in different financial instruments with the aim of obtaining a profit”.

Garrido then focused on explaining the basis of trading through the “3M: Mind, Money and Method”. Explaining this, Garrido said that the base of the Mind or Mind represents 60% at the time of trading, he continued by adding that Money represents 30%, while the strategy or Method only represents 10%, even though many consider it to be the most important at the time of trading.

3 key metrics to consider as Bitcoin’s price attempts to exceed $20,000
Focusing on each of the M’s, Garrido added that the foundation of the Mind requires developing and maintaining an adequate trading psychology, within this he explained that the enemies of psychology which are greed, fear and despair need to be fought with prudence, confidence and knowledge.

On the money side, he explained that it is necessary to “generate and control a correct monetary and risk management”. Regarding this, he defined monetary management as that which determines the distribution and size of the position in which an operation is initiated, while risk management expressed that it was the operational part that places the profits and losses of monetary management.

Finally, when he explained the strategy, he explained the elements of the technical analysis and the fundamental analysis. Defining each of these analyses he explained that the fundamental one refers to the methodology of financial study that seeks to discover the value that an asset should have according to its intrinsic properties, while the technical analysis defined it as the study of the behaviour of the historical evolution of the market that through the use of graphic data allows to forecast the possible behaviour of an asset. In this way, the aim is to evaluate the “history of the asset” in order to determine what it can do again.