Hard to say exactly what the effect of regulators cracking down on Tether will actually be. If Tether gets delisted from exchanges and isn't redeemable for USD,

Hard to say exactly what the effect of regulators cracking down on Tether will actually be. If Tether gets delisted from exchanges and isn't redeemable for USD, then obviously Tether holders will get burned. But what effect exactly will this have on Bitcoin and other cryptocurrencies? I would expect that before Tether gets delisted, insiders will trade their Tethers for Bitcoin, pushing up the Bitcoin price, and then probably immediately sell that Bitcoin for USD (or USDC), as they will expect the cryptocurrency market to crash once the Tether news becomes public. While these buyers of Bitcoin will immediately sell for USD, they will create a lot of volume in Bitcoin trading, which could push the price up. So maybe we see a quick, sharp run up in Bitcoin price and volume along with a lot of Tether selling before news about Tether breaks publicly followed by a crash of the entire cryptocurreny market.