Tether Inflows Hit $2.7B Amid Bitcoin’s Dip to $90K, Signaling Margin Calls and Bargain Hunting
Bitcoin (BTC) faced a sharp decline, falling to nearly $91,000, as global trade war anxieties shook the market. During this period, centralized exchanges saw a notable surge in Tether (USDT) inflows, with $2.72 billion entering the platforms, according to analytics firm IntoTheBlock.
This surge in capital is attributed to a mix of margin calls, with traders depositing USDT to avoid liquidation of their positions, and “buy-the-dip” behavior as many saw the price drop as an opportunity to enter the market. IntoTheBlock’s newsletter highlighted that these inflows marked the third-highest recorded, driven mainly by Ethereum-based transactions.
Since the drop, Bitcoin has found some stability, trading within a range of $95,000 to $100,000, according to CoinDesk data. Both Tether and its competitor USDC remain popular for stabilizing transactions and facilitating cryptocurrency purchases during turbulent market phases.
