USDT.D - Profit Taking Begins Market Cap USDT Dominance, %CRYPTOCAP:USDT.DVIAQUANTCrypto has seen a massive move to the upside, and once again Tether dominance has helped predict when cash flows in and out of the crypto markets. Given the current structure, it is extremely important to pay attention to what is developing on the USDT.D chart. To begin, review my most recent idea: In that idea I stated: "If we see Tether dominance continue dropping and start closing daily candles back below the 8.17% level, that would signal a major crypto breakout is coming. In my personal opinion, this is what seems most likely given the current state of the trend. If this occurs, it is likely to bring USDT.D back around the 7.5% to 7.6% dominance level, or even toward the low 7% range if dominance goes on to retest the upper parallel channel. If dominance comes in contact with the parallel channel, view this past idea to watch how the chart develops." As you can see from the current chart, dominance did close below the 8.17% level, and as soon as that breakdown confirmed, market participants began rushing out of cash and into risk assets, helping fuel the massive crypto pump that followed. Now pay very close attention to what I said in that post. I was outlining a breakdown toward the 7.5% to 7.6% dominance level, or even the 7% level if dominance went on to reach the parallel channel. If you take one thing away from this idea, it is that second part of the sentence, as it is the most vital to understand right now. That parallel structure had been the original launching point for Tether at the market top in May, which I outlined here: Now that the breakout has happened, this retest becomes the most critical development to watch. As Tether dominance tests the parallel channel, it should act as new support and demand. This means it is likely that market participants will begin taking profit in this region, and Tether dominance should start rising from this level upon a successful retest. In that last post I linked this idea, stating: "If dominance is to come in contact with the parallel channel, view this past idea to watch how the chart develops." This was because I had extended the parallel channel forward to see how dominance would react once it eventually reached it. In that same idea I also stated: "Because of this, it is imperative that we see dominance fail to climb and instead close below the key level with a confirmed daily close, in order for Bitcoin to break higher and dominance to fall back toward the top of the parallel channel." Even back in mid July I was expecting this eventual fall toward the top of the parallel channel, which is exactly why this development is so critical to examine today. It is extremely important to watch how the daily candle bodies close around this channel going forward. If daily candles continue closing above the parallel channel, it is likely we see a crypto selloff, with Tether dominance running back toward the 8.25% level I have had outlined as a key level for some time now. But it gets even more compelling. Not only has this successful retest of the parallel channel occurred, but a triple bottom has now formed around the 7% level. I outlined why the 7% level was so critical, and when the original double bottom occurred, in these ideas: I just want to urge some caution here. The space is filled with euphoria right now, but there could be something brewing beneath the surface, with market participants potentially about to rush back into cash. Pay close attention to this chart. Thanks for reading, and I hope this was able to provide some value today.