According to market data supplier CryptoQuant, stablecoin holdings on international crypto exchanges soared to a new all-time high on March 28, exceeding $10 billion.
Cryptocurrency exchanges at the moment are holding almost 16% of the entire market worth of all stablecoins, as stablecoin market capitalization quantities to $63 billion on the time of writing, based on data from CoinGecko. The complete buying and selling quantity of all stablecoins is estimated at about $88 billion.
According to CryptoQuant knowledge, volumes of stablecoin holdings on exchanges have been repeatedly renewing all-time highs this 12 months, surging more than 100% in two months. As beforehand reported, stablecoin inflows are often seen as a short-term indicator of bullish motion for Bitcoin (BTC), suggesting that sidelined capital is transferring again into BTC.
Coupled with rising stablecoin accumulations, another metrics like CryptoQuant’s “All Exchange Stablecoin Ratio” might probably level at one other upward transfer on crypto markets. Technical analyst Crypto Seer noted on March 27 that the metric had reached its lowest stage since November 2020.
“Each time this ratio has gone so low is marked by periods of significant strength for $BTC. The significant reduction in on exchange supply for BTC can be noticed here,” he stated. The metric indicates BTC reserves divided by all stablecoin reserves held on exchanges, pointing to potential promoting strain.
The newest stablecoin market milestone comes as fee big Visa formally pilots its first settlement transaction in USD Coin on the Ethereum blockchain. USD Coin is the second-largest stablecoin pegged to the United States greenback following Tether.
“I smell crypto mass adoption here,” CryptoQuant CEO Ki Young said about Visa’s transfer into USDC.