Tether Invests $100M in Anchorage as BTC Slides Below $70K
Tether Investments (Tether’s El Salvador arm) has made a $100 million strategic equity investment in Anchorage Digital Bank, formalising and deepening an existing partnership that includes Anchorage-issued USAt, a USD‑pegged stablecoin launched under the U.S. federal stablecoin framework in January 2026. Anchorage is the first federally chartered U.S. digital asset bank and provides custody, settlement, staking, trading and stablecoin issuance for institutions. The deal follows reports Anchorage is preparing a $200M–$400M capital raise ahead of a potential IPO. Tether — issuer of USDT, the largest stablecoin with roughly $185B circulating — reported strong 2025 results (about $10B net profit and substantial reserves) and has been deploying profits across crypto, including building bitcoin reserves (over 96,000 BTC). The announcement comes amid sharp Bitcoin weakness: BTC fell below $70,000 for the first time since November 2024, dipping to around $63,200 with a ~14% 24h decline. Technical indicators cited show BTC in a clear downtrend (RSI oversold, bearish supertrend, 20‑day EMA well above price) with nearby supports near $64K and $61K and resistance around $67K–$70K. Analysts say large stablecoin-capital injections into custody and issuance platforms could act as a liquidity backstop and help market stability over time, but near-term trading implications point to heightened volatility and continued downside risk until technical support holds. (Not investment advice.)
Bearish
Short-term: The news coincides with a sharp BTC sell-off (drop below $70K to ≈$63.2K) and bearish technical signals (RSI oversold, bearish supertrend, price below 20‑day EMA). Those factors point to immediate downside risk and heightened volatility for BTC despite the investment. Large stablecoin funding into custody/issuance platforms (Tether’s $100M into Anchorage) can provide liquidity backstops that may limit systemic stress, but such structural benefits are gradual. Medium–long term: the investment strengthens Anchorage’s capital base ahead of a potential IPO and deepens ties between major stablecoin issuer (USDT) and a federally chartered bank, which could improve institutional confidence, support stablecoin infrastructure, and reduce counterparty risk over time — all potentially bullish for crypto market stability. Net effect on BTC price is likely bearish in the near term (technical pressure and risk-off sentiment) and neutral-to-mildly bullish over the longer term if the deal and subsequent capital raises improve market liquidity and confidence.