$ 19,047.64
$ 1,327.72
$ 0.999991
$ 0.459654
$ 0.490273
$ 0.99915
$ 0.000225

The Market is in Turmoil as Bitcoin (BTC) Falls Under $27k and Tether is Below $1

Bleta. M
This affected the cryptocurrency market as Tether (USDT) mirrored the crash of Terra (UST) sending shockwaves all through the market.

Tether (USDT) is the next stablecoin to cause concern, despite assurances that operations will continue as usual.

On Thursday, May 12, Bitcoin (BTC) broke out of its lengthy trading range, with markets falling to levels seen in 2020. On Bitstamp, the pair was trading around $26,700 at the time of posting, its weakest since 2020, in late December. The downturn came as the aftermath of the Terra stablecoin crisis began to reverberate throughout cryptocurrencies and further, with allegations circulating that professional funds were having solvency concerns as a result of Terra (LUNA) and Terra (UST) losses.

Terra’s native token, LUNA, had nearly lost all of its value, changing hands at roughly $0.22. LUNA/USD was trading at $80 at the beginning of May. While there is a significant dedication from Terra executives to recover the US dollar peg of Terra (UST), the stablecoin was valued at roughly $0.60 which is twice the amount of the lows of the week but still not $1. 

However, this distress was expanded across the cryptocurrency market, as even Tether (USDT) mirrored the crash of Terra (UST) sending shockwaves all through the market. USDT/USD was valued at $0.99 at most of the exchanges at the time of publication.

Paolo Ardoino, the CFO of Tether commented on the stability of the system, saying that Tether (USDT) withdrawals were continuing normally. He also tweeted that “>300M redeemed in last 24h without a sweat drop.”

According to data from CryptoQuant, prominent exchanges have seen historic outflows of stablecoins. Experts were nevertheless inclined to regard the present levels as a prospect if the macro range bottom formed in January 2021 was lost.

Rekt Capital argued that “whatever you lose in a macro downtrend, you’ll gain multiples back in a macro uptrend. All you have to do is pay attention to the markets when they are ultra bearish.” 

Rekt Capital also posted a tweet on May 11 in which the macro range was emphasized. 

Market liquidations represented the magnitude of the losses. According to data from Coinglass, the total value of Bitcoin (BTC) and altcoins reached $1.2 billion in the 24 hours leading up to the publishing of this piece.

Also read:

Related News

Cardano currently has more than 3,000 stake pooling and decentralization features

ETH PoS Approach Lags Compared to Cardano’s Says Charles Hoskinson

In an interview, Charles Hoskinson, the founder of Cardano stated that Cardano had a superior proof-of-stake (PoS) strategy over Ethereum, in light of the change in consensus mechanism from PoW to PoS.  Charles Hoskinson discussed the launch of Cardano, the upgrade to Vasil’s hard fork, the launch of Dapps, the LACE light wallet, decentralization, CBDC (Central Bank Digital Currency), as well as the metaverse. The IOG/Cardano Foundation team effectively initiated

Read More »
Immediately following the announcement, Bitcoin's (BTC) price wavered for a while before dropping along with American stocks.

75 Basis Point Rate Hike by the Fed Sends Cryptocurrencies on a Downward Spiral

The much-awaited Fed rate hike has finally been announced, and as predicted, it delivered a significant hit to the larger cryptocurrency market on September 21. 75 bps were added to the Fed’s policy rate, bringing it to a level of 3 – 3.25%. The ensuing rises constitute the central bank’s swiftest change in policy since the 1980s, and this statistic shows a significant rise from March of 2022 when the

Read More »
In a separate move, an impartial third party was already established to investigate the finances of Celsius.

Wrapped Assets to be Issued by Celsius to Compensate Users

According to a newly released voice memo, Celsius Network execs are considering repaying clients by issuing freshly wrapped assets to exchange on other networks. The co-founder and CEO of Celsius, Nuke Goldstein, seems to go into greater detail about the company’s plan to reimburse Earn consumers in the tape that Tiffany Fong published. The earlier leaked meeting audio is attributed to Celsius’s client and public person Fong. The Block claims

Read More »

My Coins

$ 19,047.640.16%
$ 1,327.720.09%
$ 0.9999910%
usd-coinUSD Coin
$ 0.999150.16%

Newest Videos on YouTube

We inform and educate people about Cryptocurrencies and Blockchain technology.

© Copyright 2021, All Rights Reserved,
Crypto Academy


Contact Us

For any question conatct us through:

[email protected]

Disclaimer: All information and materials on this website are for educational purposes only. does not provide any form of financial advice. Cryptocurrencies are highly volatile, therefore any form of investing carries a high level of risk to your capital. It is recommended that you seek professional advice prior to implementing any investment or financial plan.

We do not ask you for your Cryptocurrency / We do not hold your Coins / We do not ask for Private Keys / Be aware of scammers and imposters.

Contact us only through: [email protected]