It has been just revealed the fact that the total stablecoin supply growth means nothing less than a huge capital inflow. Check out the latest reports about the matter below.
Stablecoin supply growth and its meaning
The Block’s Data Dashboard reported an increase in the supply of stablecoins, particularly USDT, around the same time a false report about a spot bitcoin ETF approval sparked a sustained rally for the world’s largest cryptocurrency by market capitalization.
Analysts at Glassnode believe that the rise in stablecoin supply is an indication of net capital inflow into the entire crypto market.
“Stablecoins represent investor demand for speculative capital,” a Glassnode report sent to The Block stated.
The analysts at Glassnode have observed that the Altseason Indicator has shown a recent breakthrough, with all three assets – bitcoin, ether and combined stablecoins – experiencing upticks.
Bitcoin is currently leading the way in terms of net inflows, while stablecoins have recently seen net outflows.
This is a significant change from the past year, where the total supply of stablecoins had declined since its peak in May 2022, just before the TerraUSD collapse.
However, as of now, all three assets are in positive territory and are showing an increase in value. The Glassnode analysts have confirmed this development.
The latest news in the crypto space
It has been revealed the fact that the director of $4.5 trillion Fidelity had something extremely interesting to say about Bitcoin.
Check out the following tweet below.
NEW: $4.5 trillion Fidelity Director of Global Macro says #Bitcoin's risk-reward is "in a different universe." 👀 🐂 pic.twitter.com/bVXG56bJw0
— Bitcoin Magazine (@BitcoinMagazine) November 2, 2023
Bitcoin Magazine also addresses the faith in Bitcoin and its mass adoption.
“BM Pro: Rapid Acceptance of #Bitcoin as Safe Haven, and the Death of Yield Curve Control #BTC is finding its home as a safe haven asset as Treasuries struggle. The BOJ is between a rock and a hard place, seemingly putting the brakes on YCC.”
