Analysts Call for Calm as Tether Splits From USD, Bitcoin Loses $17,000 Rebound

Tether follows Tron's stablecoin USDD in peeling off amid suspected shorting involving FTX and Alameda Research.

Market Update

Bitcoin (BTC) and crypto markets saw further volatility on November 10 after the stablecoin Tether (USDT) broke away from the US dollar.

USDT /USD 1-day candle chart (Binance US). Source: TradingView

Tether executive: "No problem" with USDT

Data from Cointelegraph Markets Pro and TradingView showed that USDT hit a low of $0.971 on Bitstamp on the day, amid fears the largest stablecoin by market cap could fall further.< /p>

These fears have been stoked by evidence of beleaguered exchange FTX and sister company Alameda Research attempting to short USDT.

Currently in the throes of a crisis reminiscent of the Terra debacle, both companies have come under fire from the cryptocurrency community and beyond as regulators step up their scrutiny of the industry.

The impact was felt in crypto prices, with BTC/USD hitting a more than two-year low at $15,638 on Bitstamp.

BTC/USD 1-Hour Candle Chart ( Bitstamp). Source: TradingView

Commenting on USDT's moves that day, Chief Technology Officer Paolo Ardoino called for calm.

"Tether processed ~700M...