$ETH Title: 2 Billion USDT Just Entered the Market + Powell’s Dovish Tone — Are the Bears in Trouble?
Tonight, we witnessed a major move in the crypto space. Within just one hour, a massive $2 billion in USDT entered the market, and at the same time, Fed Chair Jerome Powell took a notably dovish stance — a potential threat to the bears.
ETH is currently holding at $2,510, while the adjacent US stock market is tumbling.
So, should we short it?
My opinion: Absolutely not!
Here’s why:
1. Massive USDT Influx: After the previous issuance of $1 billion USDT, Tether minted another $1 billion at 20:09 tonight. That’s $2 billion in real money flowing into the market within one hour — this is not a small event.
2. PPI Data Supports the Bulls: The latest PPI (Producer Price Index) data shows a weakening trend, indicating reduced inflation pressure. Lower inflation increases the chances of a rate cut by the Fed — a strong tailwind for the crypto market.
3. Powell’s Statement Hints at Optimism: While Powell refrained from commenting directly on future policy, he hinted that April’s PCE data may come in around 2.2%, which is very close to the 2% target for a potential rate cut. This data won’t be released officially until May 30 — consider this an early spoiler.
4. Whales Are Buying: A large USDT influx doesn’t always lead to an instant price spike, but it clearly shows that whales believe the current price levels are attractive. Shorting now would mean going against smart money — risky business.
Conclusion:
There is no solid reason to short right now. The momentum is shifting in favor of the bulls, and big capital is entering the game. $ETH breaking past the $2,500 mark is a sign that buyers are waking up.
