Doom To Fail: Tether Shorts Pile In As Hedge Funds Seek To Profit From Crypto...
The crypto ecosystem is still dealing with the fallout caused by the collapse of the Terra ecosystem, the company behind stablecoin USDT, Tether, is being targeted by hedge funds. Confirmed by Paolo Ardoino, CTO at Tether and crypto exchange Bitfinex, via his Twitter account. Related Reading | Cardano Formed This Pattern On Its Chart, Where Is The Coin Headed? According to the rumors, hedge funds have been opening short positions on Tether (USDT) and have been actively seeking to create panic in the crypto industry to affect the stablecoin. Peg 1:1 to the value of the U.S. dollar,....
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The company behind TerraUSD and Luna, which sparked a crypto market collapse last month, launched a new coin. However, it is now developing actively. For example, nine days after falling to an all-time low of $1.62, the price of Terra’s freshly minted new token (LUNA2) increased significantly. Regarding recovery from the previous low, LUNA2’s pricing on June 27 reached $2.77, or a 70% increase. Nevertheless, the token is trading almost 77% below its May 30 historical high of $12.24. Related Reading | Doom To Fail: Tether Shorts Pile In As Hedge Funds Seek To Profit From....
Tether said the hedge funds that saw Terra’s collapse as a reason to short USDT have “a fundamental misunderstanding of both the cryptocurrency market and Tether." Tether, the issuer of Tether (USDT), says that hedge funds that attempted to short its stablecoin after Terra’s collapse in May are using a thesis that is “incredibly misinformed” and “flat out wrong.” In a blog post from July 28, Tether pointed to a June 28 Wall Street Journal podcast in which host Luke Vargas and guest Caitlin McCabe discussed the bearish crypto market and concerns over Tether’s backing assets as the reasons....
Bitcoin has recently fallen below a $32,000 critical hold point and in response, retail investors have taken this as an opportunity to make money from the falling bitcoin price. So far, retail investors have started loading up on shorts, an incredibly bearish metric for the market. Retail investors load up on shorts | Source: Twitter […]
Newly surfaced reports revealed that some hedge funds are now shorting Tether USDT. A Monday report from the Wall Street Journal (WSJ) stated several opened short positions on USDT. According to the report, a leading crypto brokerage, Genesis Global Trading Inc., held some notional values worth hundreds of millions for USDT shorting. The firm is […]