USDT dominance crosses upward, a clear risk-avoidance signal for funds, short-term pressure on BTC is significant

Crypto news: USDT’s dominance has generated a “golden cross” signal, which could negatively affect Bitcoin (BTC) prices. USDT is the largest stablecoin by global market cap; an increase in its dominance typically means market participants shift their funds to this dollar-linked asset rather than higher-risk investments. Last week, USDT’s dominance rose by 13.5% to 9%, marking the biggest single-day gain since March 2025, while Bitcoin’s price fell by nearly 14%, briefly dropping below $60,000. The appearance of the golden cross suggests that USDT’s market share may continue to increase, which could deepen broader risk-aversion sentiment and further drive funds into USDT.