According to data from crypto research company Kaiko, Tether’s (USDT) market share in Binance has increased again. The report interprets this momentum as the beginning of a rally in the Bitcoin and altcoin sectors.
USDT is increasing: Bitcoin and altcoin markets show signs of revival
Leading cryptocurrency exchange Binance recently decided to leave BUSD and TUSD. This decision signals an increase in USDT’s market share and the beginning of a revival in the cryptocurrency market. According to Kaiko data, the market share of USDT on Binance is increasing again.
Recently, TrueUSD (TUSD) market share on Binance dropped from 30% to 5.6%. This caused TUSD’s daily trading volume to fall below BUSD market share, in line with Binance’s plans to end support for BUSD at the beginning of 2024.
On the other hand, USDT and FDUSD trading volumes increased significantly on Binance. USDT market share reached 80 percent. Following Binance’s announcement of zero fees for Bitcoin and Ethereum transactions with its new stablecoin FDUSD, FDUSD market share also increased.
Last month, Binance suspended zero-fee Bitcoin transactions for the BTC/TUSD pair. Investors have exited TUSD because they must pay a taker fee that is no longer free. Therefore, the new stablecoin FDUSD is rapidly growing its volume. So, why are these latest developments positive for Bitcoin and the altcoin market?
Why is increasing USDT trading volume on Binance a good sign?
Binance has decided to reduce support for TrueUSD (TUSD) due to a series of issues. It also ended its zero-fee Bitcoin trading program. Experts have caused a stir in the crypto market by showing several red flags regarding TUSD.
As for the answer to the question, the increase in USDT trading volume brings back the lost trading volume on Binance. Additionally, it helps prevent unnecessary risks. This brings some positive momentum to the Bitcoin market and solves liquidity issues.
BTC analysts also maintain optimistic expectations
With Bitcoin price hovering above $26,000, analysts are already bullish. Notably, popular crypto analyst Michaël van de Poppe wrote today that “Bitcoin price is ready to start the bull cycle.” Poppe points out the relationship between BTC price and the 200 Weekly EMA.
The #Bitcoin price might be ready to start the bull cycle.
It holds above the 200-Week EMA, and it should hold above that level, and it's the best period of the cycle to accumulate your altcoins. These months.
Why?
Read more about it here:https://t.co/qbu8gWIRNf pic.twitter.com/KBGBv1Ok6X
— Michaël van de Poppe (@CryptoMichNL) September 15, 2023
The above data, which gives positive signals about the possibility of the crypto market starting a rally, comes as USDT market share is increasing again on Binance. Binance’s decision to move away from BUSD and TUSD stablecoins is receiving positive reactions from investors. According to data from Kaiko, USDT market share is increasing on Binance. This indicates that it may be the beginning of a rally in the Bitcoin and crypto market. You can take a look at the recent Kaiko reports reported by Kriptokoin.com on this page.
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