Over the past three weeks, there has been a noticeable trend of large wallets rapidly accumulating stablecoins.
Wallets holding at least $5 million in cryptocurrency have collectively increased their holdings by 5.09% of the combined supplies of major stablecoins such as USDT, USDC, BUSD, DAI, TUSD, and USDP.
According to data from Santiment, the total market capitalization of stablecoins. including USDT, USDC, BUSD, DAI, TUSD, and USDP, has been steadily climbing.
The combined market cap has now surpassed $143 billion for the first time since 2022, indicating significant accumulation and investor confidence in these assets.
🤑 The supply of #stablecoins appear to have been rapidly accumulated by large wallets over the past 3 weeks. Wallets holding at least $5M in #crypto have added a collective 5.09% of the combined supplies of $USDT, $USDC, $BUSD, $DAI, $TUSD, and $USDP. https://t.co/BIR43pbgNO pic.twitter.com/oCGzD8wqEU
— Santiment (@santimentfeed) April 2, 2024
The accumulation trend among large wallets highlights a growing interest in stablecoins as a store of value and liquidity provider within the cryptocurrency ecosystem. These stable assets offer investors a means to hedge against market volatility while maintaining exposure to the broader crypto market.
Tether Treasury Mints An Additional 1 Billion USDT
In the midst of a recent decline in the price of Bitcoin, on-chain data from Lookonchain has revealed notable activity from the Tether Treasury. Tether Treasury minted an additional 1 billion USDT tokens just a few hours ago, adding to the 6 billion USDT minted in the past month alone.
Tether Treasury minted 1B $USDT again 2 hours ago.#TetherTreasury has minted a total of 6B $USDT in the past month.
It seems that after every minting, the price of $BTC increases, is it a coincidence?https://t.co/8NzHewH6Rlhttps://t.co/2wFo2DEvz3 pic.twitter.com/D5lEev8MdU
— Lookonchain (@lookonchain) April 2, 2024
Interestingly, there appears to be a correlation between Tether minting events and increases in the price of Bitcoin. After each minting, there has been observed upward movement in the price of BTC, suggesting a potential impact of stablecoin supply dynamics on broader market sentiment and price action.
As the cryptocurrency market continues to evolve, the accumulation of stablecoins by large wallets and the actions of major players like Tether Treasury will likely remain closely monitored by investors for potential insights into market trends and future price movements.
Disclosure: This is not trading or investment advice. Always do your research before buying any Metaverse crypto coins.