Bloomberg: It’s only a matter of time before Tether’s market value surpasses ETH to become second
The report pointed out that the growth of Tether’s market value is one of the main drivers of the appreciation of Bitcoin (BTC):
“ People are interested in establishing a digital currency linked to the US dollar, which means that they need to trade and store value in a global reserve currency without intermediaries. “
Ethereum lives in the shadow of Bitcoin
Recently, Tether ‘s market value has exceeded the third largest cryptocurrency XRP . Bloomberg asserted that it will not stop here, but will directly surpass ETH and become the second:
“ In the case where the main cryptocurrency trend is unlikely to be reversed, it should only be a matter of time before Tether surpasses ETH and becomes the second-largest cryptocurrency after Bitcoin in terms of total assets. Benefiting from being replaced as a global reserve currency Widely adopted, the stablecoin pegged to the US dollar does not seem to prevent more and more people from adopting it. “
At the same time, this report believes that ETH lives in the shadow of Bitcoin and does not have any vitality itself:
“ We believe that if Bitcoin does not rise, the price of ETH will not rise. This excellent cryptocurrency is getting rid of difficulties in its adoption, and under the quantitative easing policy, the macroeconomic situation of its value storage is almost ideal. “
On the shoulders of dollars
Despite the implementation of a large-scale economic stimulus plan by the United States, the US dollar continues to appreciate relative to other major currencies. Therefore, the report believes that stable coins like Tether, which can provide US dollar channels, are increasingly favored.
Bitfinex and Tether recently beset by legal problems, which may pose a real challenge to its future success.