\u2026I still think that we\u2019ve got further upside for BTC, to new higher highs because we haven\u2019t seen any significant breakdowns\u2026\u201d<\/em><\/p>\nThe widely followed analyst says that one of the factors that could contribute to the rise in Bitcoin\u2019s price is the potential fall in Tether (USDT) dominance \u2013 the ratio of USDT\u2019s market cap relative to the rest of the crypto assets. According to Pizzino, the USDT dominance is on the cusp of hitting a major resistance level and is potentially poised to fall.<\/p>\n
\u201cSo the positive signs here are with the USDT dominance which has come out to test the upside levels [around 5.3%]\u2026<\/em><\/p>\n\u2026there might still be a little more upside here for USDT dominance which of course would mean you\u2019d see further downside for Bitcoin and cryptos. But it doesn\u2019t seem too far off\u2026<\/em><\/p>\n\u2026so we\u2019re definitely closer towards the end of I guess the move to the downside and the stuff of something fresh\u2026<\/em><\/p>\n\u2026 so the USDT dominance is looking relatively good here.\u201d<\/em><\/p>\nPizzino, however, warns that the price of Bitcoin and other crypto assets could be negatively impacted if the USDT dominance rises above the 5.5% level.<\/p>\n
\u201cThe worst-case scenario is if it breaks past the diagonal downtrend which has held down the USDT dominance for the last several years going all the way back to 2023, so the last couple of years. That would be worrisome for the bull market if it started to find some support here and rise up. That would essentially mean that people have lost faith in Bitcoin and cryptos and are essentially taking profits. They\u2019re just getting the hell out of all of the markets and primarily BTC.<\/em><\/p>\nSo around the next couple of days to weeks, you\u2019d want to see this [USDT dominance] get rejected at least very, very worst case somewhere up around 5.5%, 5.6% and work its way back down getting quickly under 4.75% as it currently stands. And that would lead us back to some sort of, I don\u2019t know, positive, greedy FOMO [fear of missing out] times.\u201d<\/em><\/p>\nBitcoin is trading at $87,877 at time of writing, down by around 20% from the all-time high reached on January 20th.<\/p>\n