Fun

Bitcoin traders anticipate new highs, according to stablecoin flows to exchanges

News Feed - 2024-03-09 02:03:03

Nancy Lubale6 hours agoBitcoin traders anticipate new highs, according to stablecoin flows to exchangesStablecoin flows to exchanges highlight traders’ belief that the crypto market is ready to rally higher.1835 Total views1 Total sharesListen to article 0:00Markets NewsOwn this piece of crypto historyCollect this article as NFTJoin us on social networksOn March 8, Bitcoin (BTC) price hit a new all-time high at $70,083, and even though the price corrected sharply after hitting a new high, stablecoin data suggests that traders are preparing for higher prices.


There is an uptick in stablecoin inflows with renewed price action in the crypto market, driven by spot Bitcoin (BTC) exchange-traded funds in the United States.


The balances of tether (USDT) and USD Coin (USDC) deposited into crypto exchanges have increased by 6.5% in March, suggesting that traders are preparing to buy more crypto as they expect Bitcoin to resume its uptrend.


Data from market intelligence firm Glassnode shows that holdings in known crypto exchange wallets rose from $18.43 billion on March 1 to surpass $19.63 billion on March 8.Stablecoin balance on exchanges. Source: Glassnode


Additional data from market data provider CryptoQuant reveals that while stablecoin balances on crypto exchanges spiked during the first eight days of March, the number of stablecoin deposit transactions also grew in tandem with crypto prices.All stablecoins deposit transactions to exchanges. Source: CryptoQuant


In the meantime, the total stablecoin market capitalization grew by 1.2% in March to $145.2 billion at the time of publication, according to data from DefiLlama. Tether’s USDT accounts for more than 70% of this value, with a market cap of $101.2 billion.Total stablecoin market capitalization. Source: DefiLlama


The total trading volume of all stablecoins now stands at around $112.7 billion, with USDT alone making up $86.65 billion billion of these volumes.


The growth of stablecoin inflows to exchanges and market cap have historically been considered good indicators for determining market participants" positioning.


Accelerated by the amazing performance of the spot BTC ETFs and the upcoming Bitcoin supply halving – which is roughly 41 days away – stablecoin reserves on exchanges continue to increase.


As previously reported by Cointelegraph, growing stablecoin inflows to exchanges kickstarted Bitcoin’s rally in October 2020.


Related:Bitcoin just hit a record in open interest — expect imminent volatilityAre Bitcoin traders capitulating?


Increasing stablecoin inflows to exchanges is often viewed as acatalyst for positive price action in the crypto market, indicating that available capital is moving back into digital assets.


According to X social network user Bitcoin Munger, stablecoin market cap grew in tandem with the growth in the price of BTC.Aggregate stablecoin market cap vs. BTC price. Source:Bitcoin Munger/X


Analysts at market data tracking firm Santiment observed that medium and large investors are staying put even after BTC’s retrace after briefly hitting a high of $69,324 on March 5.


“# Bitcoin’s sharks and whales aren’t going anywhere after the post-#AllTimeHigh volatility rocked markets. At the same time, overall, the number of non-0 $BTC wallets is declining, mainly due to small traders capitulating. Generally, this is a #bullish combination. ”BTC wallets by number of coins held. Source:Santiment


At the time of writing, Bitcoin is trading at $67,863, up 0.73% over the last 24 hours, according to data from CoinMarketCap.


This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.# Bitcoin# Cryptocurrencies# Altcoin# Bitcoin Price# Markets# Cryptocurrency Exchange# Stablecoin# ExchangesAdd reactionAdd reaction

News Feed

Bitcoin Outshines Gold By Over 13,000% — ‘Let The Numbers Speak’, Expert Says
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Bitcoin price drops below $59K as institutions stop buying stablecoins
Zoltan Vardai6 minutes agoBitcoin price drops below $59K as institutions stop buying stablecoinsBitcoin price saw its local bottom last time Tether minted $1.3 billion worth of stablecoins, which helped BTC recover over
Millions of Latest Antminers S19i Are Ready – BitFuFu Cloud Hashrate Platform Restarts Running Plan
Millions of Latest Antminers S19i Are Ready - BitFuFu Cloud Hashrate Platform Restarts Running Plan press release PRESS RELEASE. Since May 30, the BTC mining diff
Canada to begin implementing international crypto tax reporting standard
Derek Andersen7 hours agoCanada to begin implementing international crypto tax reporting standardCanada is aiming to have the OECD standard for crypto asset tax reporting in place by 2027, as agreed with 46 other countri
Best Cryptocurrencies to Buy as Trump’s WLFI Increases Holdings in $WBTC and $MOVE
Este artículo también está disponible en español. World Liberty Financial, Trump’s crypto company, is making moves again. It
9 Trillion vs. 100 Trillion: Billionaire Mike Novogratz Asks Which Cryptocurrency Will Win the Payments Race
9 Trillion vs. 100 Trillion: Billionaire Mike Novogratz Asks Which Cryptocurrency Will Win the Payments Race On December 31, billionaire investor Mike Novogratz
FTX Publishes Creditor List, Owes Millions to Well-Known Institutions and Government Agencies
FTX Publishes Creditor List, Owes Millions to Well-Known Institutions and Government Agencies The now-defunct crypto exchange FTX has published its list of creditors, with the name
Spellfire Completes Seed Funding Round – Terranova, x21, Autonomy Capital Among Top Investors Onboard
Spellfire Completes Seed Funding Round - Terranova, x21, Autonomy Capital Among Top Investors Onboard sponsored Spellfire, a legendary card-based NFT game powered by Ethereum and in
Formula One Team Haas F1 to Mint Branded NFTs With Opensea
Formula One Team Haas F1 to Mint Branded NFTs With Opensea U.S.-licensed Formula One constructor Haas F1 Team has announced a collaboration with non-fungible token (NFT) marketplac
Spanish Treasury Releases Guidelines to Minimize the Risk of Tax Evasion With Cryptocurrencies
Spanish Treasury Releases Guidelines to Minimize the Risk of Tax Evasion With Cryptocurrencies The State Agency for Tax Administration of Spain published guideli
Amaka Nwaokocha13 hours agoAdobe, IBM, Nvidia join US President Biden’s efforts to prevent AI misuseAdobe, IBM, Nvidia and five other companies have joined the initiative, unveiled in July, aimed at preventing the misu
Jack Dorsey Resigning as CEO of Twitter Is Bullish for Crypto, Says Fundstrat
Jack Dorsey Resigning as CEO of Twitter Is Bullish for Crypto, Says Fundstrat Twitter now has a new chief executive officer after Jack Dorsey resigned Monday. Dorsey, who is still