Digital currencies are known to be more volatile than people think usually goes like this If USDT goes down BTC goes up, if BTC goes down USDT goes up Yes. prices for altcoins are soaring but maybe now it could be something else USDT is going up BTC is also going up and the word volatility is for the same reason.
Is it that simple mate? I don't think so my friend. People always says this but so far, so bad. It's the opposite of its that usually happens. Take a review look at UST, the tragedy will remain a mark on some peoples skin and a memory that will be difficult to forget, trust me. Even when some people are saying bitcoin crash due to the fact that UST was backed by some portion of bitcoin and other coins but what about that day USDC depeg? It wasn't and is not back by btc but when that happened, bitcoin was crashing during the weekend not until monday before they make an announcement of using some insurance funds to cover the loss before the depeg fully pegged back to the original value.
I don't wish to see USDT collapse but if that eventually happens, mehn some altcoins will die, many coins will not recover again, top altcoins will be lifeless and bitcoin will suffer the most but it wouldn't happen. However, that's not a guarantee actually, we should always look out for potential threats and deal with it before they turn to bigger problems that will result to investment losses.