Leading crypto analytics firm Santiment says the largest Tether whales have been devouring the USDT stablecoin over the past six months.
Santiment notes that the top 100 USDT addresses have added $1.67 billion of the leading stablecoin by market capitalization over a six-month period, indicating a nearly 10% increase in purchasing power.
The analysis firm says that if USDT whales continue to increase their purchasing power, it could increase the chances of Bitcoin (BTC) surpassing $40,000.
Source: Santimento/X
BTC is trading at $36,933 at the time of writing.
Santiment also notes that 3.54% of the total USDT supply and 0.72% of the USDC supply moved to exchanges between August 19 and October 16. According to the analytics firm, another round of USDT and USDC deposits on exchanges could precede further rallies in crypto markets before the end of the year.
“These transfers were the predecessors of the cryptocurrency rally from late October to mid-November. After a cooldown, the return of USDT and USDC to exchanges will be crucial for market capitalizations to continue rising during the last five weeks of 2023.”
Source: Santimento/X
USDC is the second largest stablecoin by market capitalization.
Looking at the sentiment surrounding cryptocurrency markets, the analytics firm says traders are starting to show signs of fear after a widespread pullback in altcoin markets.
“The feeling of fear is increasing after two-thirds of the top 100 altcoins have retreated over the past week. Especially in the last few hours, several have lost a large part of their November gains. If FUD (fear, uncertainty and doubt) becomes prominent, it should be worth exploring buying opportunities on dips.”
Source: Santimento/X
Image generated: DALLE3
