The decision by Binance, the world's largest cryptocurrency exchange, to eliminate the use of digital currencies BUSD and TUSD due to regulatory hurdles has sparked positive sentiment among traders. Tether (USDT) market share on Binance is rising again, and this indicates the possible start of a Bitcoin and crypto market surge, according to data from Kaiko.
The market share of digital stablecoin TrueUSD (TUSD) on crypto exchange Binance has declined from more than 30% to just 5.6%, according to digital asset data provider Kaiko. The TUSD stablecoin daily trading rate share has even fallen below the BUSD market share, for which Binance has planned to end its support in early 2024.
Meanwhile, USDT and FDUSD trading volumes on Binance have increased significantly, with USDT's market share reaching 80%. FDUSD's market share also increased after Binance announced fee-free Bitcoin and Ethereum trading with the FDUSD stablecoin.
Analysts had predicted a crypto market sell-off in September when Binance decided to make changes to Bitcoin trading without fees for the BTC/TUSD spot trading pair and margin. Traders have left TUSD because they have to pay taker fees, which are no longer free.
Binance appears to be ending its no-fee Bitcoin trading program for TUSD, reducing its support for the TrueUSD (TUSD) stablecoin digital currency due to several issues. Experts have highlighted several sell signals with TUSD, which has created a stir in the crypto market.
The increase in USDT trading volume will avoid unnecessary risk, bringing back the lost trading volume on Binance. This will help generate some upward momentum in the crypto market and resolve existing liquidity issues.
Analysts are positive about the start of the surge with the Bitcoin price above $26,000.
