A large-scale influx of stablecoins to the Binance exchange is attracting attention as liquidity activity in the crypto market increases again. Analyst Amr Taha posted on the cryptocurrency analysis platform CryptoQuant that $2.2 billion worth of Tether was deposited on the exchange in one day. This figure marked the highest daily inflow since November last year.
The analyst said the large inflows indicate market liquidity is starting to return after months of stagnation. Taha emphasized that this development is also consistent with the recent upward trend observed in Bitcoin prices.
A large influx of stablecoins onto exchanges generally indicates an increase in purchasing power. Investors prefer to move their funds to exchanges in the form of stablecoins, especially for trading in volatile market environments. This is interpreted as potentially increasing buying pressure.
Taha also pointed out that large investors and institutional investors may be behind this liquidity influx. The re-entry into the market of large wallets, known as “whales”, is seen as a key factor in determining the direction of price movements.
This new liquidity flowing into the market could absorb the current selling pressure and pave the way for more stable price increases, the analyst said. However, experts stress that such large inflows do not necessarily mean a sustained rise and that market trends need to be closely monitored.
*This is not investment advice.
