The Tether currency or what is known as the digital dollar (USDT) is known to be a stable currency based on its value on the US dollar, so when you add a number of Tether coins to the crypto market, the company must store the equivalent in the dollar currency in its vaults.

Recently, reports and analysis have emerged indicating that Tether has issued more of its coins.

A whopping $161 million USDT has been issued over the past 48 hours, bringing the total number of new USDT issued over the past three months at $627 million.

Although this huge addition of new Tether in the crypto ecosystem originated during a period of massive selling pressure on Bitcoin.

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However, according to historical precedent, it indicates that this is a bullish sign for Bitcoin in the near term.

Tether and issuing new coins:

Tether has long been accused of using its ability to print USDT tokens to manipulate bitcoin, with these tokens added to the crypto environment directly linked to bitcoin price movements.

According to data recently shared on Telegram by Unfolded – a bitcoin and crypto analytics group – the circulating supply of Tether has increased by a staggering 13.3% over the past three months, with an additional $161 million in coins pumped in over the past hours.

Relationship of the total supply of Tether and the price of Bitcoin:

Throughout the past years there has been a strange relationship between Bitcoin trends and Tether’s market cap.

The huge rise in the circulating supply of Tether is likely to affect the price of Bitcoin, which Charles Edwards, an investor in Capriol, talked about, referring to this phenomenon in a tweet explaining that he believes that the recent rise in the Tether market cap is “ A healthy sign for Bitcoin.

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Major changes in Tether’s Market Cap have driven the price of Bitcoin higher over the past 1.5 years.

January 5, 2020 was no different.

health signal.

keep printing 🖨️ pic.twitter.com/dfe0dBJzwh

– Charles Edwards (@caprioleio) January 13, 2020

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Where I tell you:

Major changes in the market capitalization of Tether have driven the price of Bitcoin over the past few years.

So it will not be different.

As such, it is a healthy sign for Bitcoin.

Assuming the analysis is correct.Charles EdwardsThe recent surge in USDT circulating supply appears to indicate that Bitcoin may soon see some bullish momentum.

Read also:

New report: 119 titles dominate the most available Tether coins

Bitfinex CTO: This is how we make profits from the USDT cryptocurrency