> the market is extremely illiquid Trading is dominated by smart money -- whales, arbitrageurs, etc. Coinbase may have a lot of newbies buying 0.002 BTC, but t

> the market is extremely illiquid Trading is dominated by smart money -- whales, arbitrageurs, etc. Coinbase may have a lot of newbies buying 0.002 BTC, but these aren't the ones trading Tether. Whales and arbitrageurs have many facilities for withdrawing national currencies. They've completed the AML/KYC process. They have access to multiple banks in multiple countries. If the smart money knows Tethers are fractional reserve, if they know cryptocurrencies are bubbling, wouldn't they withdraw? Wouldn't the smart money put downward pressure on exchange rates? And if the market is that illiquid, a little downward pressure would be magnified into even more severe price drops. Since that's not happening with Tether, BTC or ETH, there must be another explanation. Maybe the smart money knows something that isn't obvious to the rest of us.