Tether Unleashes $1 Billion In New USDT As Crypto Market Recovers

Source Newsbtc

Tether minted 1 billion in USDT on Wednesday, a move that market watchers say added fresh liquidity to crypto markets already moving higher.

Based on reports, the total crypto market cap bounced from an intraday low near $3.80 trillion to about $3.90 trillion on the same day, while Bitcoin traded around $112,300 and Ether reclaimed levels near $4,600.

The minting stood out because it often signals ready cash that can be deployed quickly into exchanges and trading desks.

Tether Minting Sparks Liquidity Flows

New USDT issuance is frequently used to fund purchases, and the 1 billion issuance was flagged by on-chain trackers as a likely source of fresh buying power.

Santiment and other trackers show that the number of addresses holding at least 1,000 BTC rose by 13 to about 2,085 since the start of August. At the same time, wallets holding at least 10,000 ETH increased by 48 to roughly 1,27.

On August 26, US spot ether ETFs recorded about $450 million in net cash inflow, led by BlackRock’s ETHE with roughly $320 million that day.

That pushed cumulative inflows into spot ether ETFs to near $13.30 billion, while US spot Bitcoin ETFs took in about $88 million with BlackRock’s IBIT posting roughly $45 million.

The freshly minted USDT could be used by traders and desks to buy into Ether and other altcoins, matching the observable rotation from Bitcoin into alternative assets and ETF-linked demand.

Whale Accumulation Intensifies

Large holders were not the only sign of demand. Trading volumes and price moves showed altcoins gaining traction, but it was the flow of stablecoins that underpinned the story.

When stablecoin supply rises, it lowers the friction for big buys: money can be moved to exchanges and executed faster than waiting for bank transfers.

That operational detail helps explain why a billion mint draws attention even when headline prices are already climbing.

The immediate effect of the mint was to give traders extra readily available cash. But liquidity injections are a two-sided event. They can push prices higher if buyers are aggressive, while concentrated buying and later profit-taking can cause sharp swings.

What Tether Minting Could Mean For Markets

Market observers are watching liquidity, whale wallets, and ETF flows together because the mix determines whether a sustained capital rotation into altcoins will follow or if gains will be short lived.

Tether’s 1 billion USDT mint was the clearest single signal of added spending power during Wednesday’s rebound.

That supply, paired with heavy inflows into Ether ETFs and signs of whale accumulation, creates a setup where altcoin demand can grow quickly.

Featured image from Meta, chart from TradingView

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Gold Price Forecast: XAU/USD climbs above $4,250 as Fed rate cut weakens US DollarGold price (XAU/USD) rises to seven-week highs near $4,275 during the early Asian session on Friday. The precious metal extends its upside as the US Federal Reserve’s (Fed) quarter-point rate cut drags the US Dollar (USD) lower. 
Author  FXStreet
Dec 12, Fri
Gold price (XAU/USD) rises to seven-week highs near $4,275 during the early Asian session on Friday. The precious metal extends its upside as the US Federal Reserve’s (Fed) quarter-point rate cut drags the US Dollar (USD) lower. 
placeholder
XRP’s Price Action Flashes a Warning Even as ETF Flows Stay PositiveXRP’s structure remains weak despite 18 straight positive closes in spot XRP ETFs, with analysts warning that $1.98 and other nearby resistance zones could cap rebounds unless the YO region is reclaimed, while deeper downside scenarios keep $1.53 on watch as a potential (not guaranteed) accumulation area.
Author  Mitrade
Dec 17, Wed
XRP’s structure remains weak despite 18 straight positive closes in spot XRP ETFs, with analysts warning that $1.98 and other nearby resistance zones could cap rebounds unless the YO region is reclaimed, while deeper downside scenarios keep $1.53 on watch as a potential (not guaranteed) accumulation area.
placeholder
Gold declines on profit-taking, USD strength ahead of US CPI releaseGold price (XAU/USD) edges lower below $4,350 during the Asian trading hours on Thursday. The precious metal retreats from seven-week highs amid some profit-taking and a rebound in the US Dollar (USD).
Author  FXStreet
Yesterday 07: 47
Gold price (XAU/USD) edges lower below $4,350 during the Asian trading hours on Thursday. The precious metal retreats from seven-week highs amid some profit-taking and a rebound in the US Dollar (USD).
placeholder
When is the BoJ rate decision and how could it affect USD/JPY?The Bank of Japan (BoJ) will announce its interest rate decision between 03.30 and 05.00 GMT, followed by Governor Kazuo Ueda's press conference at 06.30 GMT.
Author  FXStreet
14 hours ago
The Bank of Japan (BoJ) will announce its interest rate decision between 03.30 and 05.00 GMT, followed by Governor Kazuo Ueda's press conference at 06.30 GMT.
placeholder
Pi Network Price Annual Forecast: PI Heads Into a Volatile 2026 as Utility Questions Collide With Big UnlocksPi Network heads into 2026 after a 90%+ 2025 drawdown from $3.00, with 17.5 million KYC users and a smart-contract-focused Stellar v23 upgrade offering upside potential, but 1.21 billion tokens unlocking and heavy exchange deposits (437 million PI) keeping supply pressure and trust risks firmly in focus.
Author  Mitrade
7 hours ago
Pi Network heads into 2026 after a 90%+ 2025 drawdown from $3.00, with 17.5 million KYC users and a smart-contract-focused Stellar v23 upgrade offering upside potential, but 1.21 billion tokens unlocking and heavy exchange deposits (437 million PI) keeping supply pressure and trust risks firmly in focus.
goTop
quote