Stablecoin Exchange Inflows Drop $61 Billion Below Yearly Average
On-chain data indicates a significant decrease in exchange inflows for the stablecoins USDT and USDC, now below their yearly average. This trend may have implications for Bitcoin and other cryptocurrencies.
Key Points
- Exchange Inflow measures the total amount of assets moving to centralized exchanges.
- A high inflow typically signals demand for trading volatile assets like Bitcoin, potentially bearish for prices.
- Stablecoin inflows can indicate investor intent to swap into volatile cryptocurrencies, potentially bullish for Bitcoin.
- The combined Exchange Inflow of USDT and USDC peaked at $131 billion per day but has declined to $70 billion, down $61 billion.
- Current inflow levels remain relatively high within the broader cycle context.
- If the decline continues, it could signal bearish trends for Bitcoin and digital assets.
- Bitcoin's price has increased by 2.5% recently, reaching approximately $108,100.
