Stablecoin Exchange Inflows (Top 10) Hasn’t Shown Any Spikes Recently
As pointed out by an analyst in a CryptoQuant , the top 10 stablecoin exchange inflows saw a rise during the July 2021 bottom.The “stablecoin exchange inflows (top 10)” is an indicator that measures the sum of the ten largest stablecoin transactions that are heading towards exchanges. The metric includes data of all types of stablecoins.
Since the top ten transfers are usually from the whales, this indicator can tell us whether whales are active on exchanges or not.
Usually, investors shift to stables when they want to escape the volatility associated with most other cryptos. Once these holders feel that the prices are right to re-enter these markets, they buy into other coins using their stablecoins, thus providing a buying pressure to them. When the value of the top 10 stablecoin exchange inflows is high, it means whales could be sending large amounts of stables to exchanges for buying other coins. Such a trend could therefore be bullish for the prices of cryptos like Bitcoin.Looks like the value of the metric has been muted in recent days | Source:As you can see in the above graph, the stablecoin inflows (top 10) to spot and derivative exchanges have been displayed separately, since spot platforms are what investors use for converting their coins.
BTC Price
At the time of writing, Bitcoin’s price floats around $16.8k, down 2% in the last week. Over the past month, the crypto has lost 18% in value.
Featured image from Kanchanara on Unsplash.com, charts from TradingView.com, CryptoQuant.com