“During a crash, traders will race to sell their bitcoin in exchange for tether, which is similar to the U.S. dollar in that it is recognized as a temporary safe haven amidst extreme price volatility,” Kaiko, a blockchain data analytics firm, wrote in an April 19 newsletter. “A sudden increase in buying pressure for tether often has the effect of causing positive drift from the stablecoin’s one-to-one peg.”
