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https://www.reddit.com/r/Bitcoin/comments/683rpa/are_the_markets_in_a_bubble_built_by_tether/ The serious question from /u/florbagast made me think seriously why all crypto's are growing in price these days and made me wake up in the middle of the night. USD tether is not any more traded 1:1, but rather at 0.90-0.94 USD. Whatever the underlying reason (bitfinex, not-redeemable at tether.io, etc.), this discrepancy is not known to everyone, also not to e.g. my trading app that tells me crypto prices. The fact that not everyone knows this, causes buying behaviour because 'the price is rising on other exchanges'. What actually happens is that at some exchanges crypto prices are indicated in USDT and at some exchanges, prices are indicated in USD. Take for example Poloniex, it indicates prices using USDT and happens to be the largest exchange around. Due to the discrepancy, the indicated price is higher than at exchanges like e.g. Kraken which indicates prices using USD. If people do not know this discrepancy (only needs to be a fraction that doesn't know), they will buy crypto's on their exchange where the price is 'still lower'. Market effects then cause the USDT listed cryptos to increase too, therewith creating a reinforcing cycle. Don't take my word for it. Definitely don't take my trading advice. But I urge you to think about this potential bubble yourself. To close, I leave you with a zerpbox excerpt: ** I actually used 'will' here, but meant to say 'might'.