Tether’s XAUT skyrocketed in demand today as a commodity and rallied to more than $1900 which is a value not seen since 2011 so let’s read more in our latest tether news today.
The Tether Gold stablecoin was valued at $1,902 putting the price of gold within reach of the commodity, setting an all-time high that was previously set in 2011. Gold increased by 22% from $1,150 to $1,902 since Tether’s XAUT, the gold-backed stablecoin allowed ownership of one troy ounce of gold that is held in a Swiss vault controlled by the company and was released on January 23. According to the Wall Street Journal, the commodity set a new record of $1,897 but still has yet to reach the intraday high of $1,921.
The price surge came just three days after the US government announced a second stimulus bill to help fight the economic impact of the Coronavirus pandemic. Tether’s chief technology officer Paolo Aardoino said:
“In times of uncertainty, people like having accessibility to gold. Tether Gold is clearly a product that resonates in these times.”
The price of Bitcoin increased shortly above $10,000 after the long stretch of low volatility in the $9000 region. But, the gold supporters such as Peter Schiff and other traders that invest in Bitcoin are not looking for stability. He said that the investors are not going to get rich on gold or that gold stablecoins will bring them a fortune but they assume fewer risks in losing money from the volatile crypto prices. Schiff also pushed the idea that “a big drop” in BTC prices was inevitable. In the meantime, Tether’s USD backed stablecoin reached a market cap of more than $10 billion.
Two of the last three times #Bitcoin rose above $10,000 in Oct. of 2019 and in Feb. of 2020 it soon fell by 38% and 63% respectively. The last time Bitcoin rose above $10,000 was in May, and it only fell by 15%. It's above $10,000 again today. How big will the next drop be?
— Peter Schiff (@PeterSchiff) July 27, 2020
USDT has seen some huge growth since the start of the year and the market cap of the biggest stablecoin reached $10 billion according to the latest data that we are reading about in our tether news. The market cap almost doubled this year and the amount of economic value enabled through the biggest ETH-based token went parabolic. The ongoing increase in USDT adoption raised discussions about the importance of the asset to the bigger BTC crypto market.
Tether hits a $10 billion market cap and the announcement was announced by the company after seeing through the market price aggregator CoinGecko. USDT’s issuance has seen some increased growth this year doubling from the $5 billion in just a few months since March 2020.
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