As reported by AiCoin, CryptoQuant analyst Darkfost highlighted that Bitcoin's struggle to rebound is primarily due to a lack of new liquidity, particularly from stablecoins. Since August, ERC-20 stablecoin inflows to exchanges have fallen from $158 billion to around $76 billion, a 50% decline, with the 90-day average inflow dropping to $118 billion. This trend indicates weak market demand, insufficient to absorb selling pressure, and suggests the downward trend remains intact. The analyst noted that Bitcoin's potential for a bull run hinges on the successful entry of new liquidity.
CryptoQuant Analyst Notes 50% Drop in Stablecoin Exchange Inflows Pressuring Bitcoin
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Summary
Stablecoin exchange inflows have dropped 50% since August, pressuring Bitcoin’s recovery. ERC-20 stablecoin inflows fell to $76 billion, with the 90-day average at $118 billion. Weak demand and ETF inflows remain below key levels. Analysts say altcoins to watch may outperform if new liquidity fails to materialize. Bitcoin’s upside depends on renewed capital entering the market.
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