Stalled Stablecoin Supply Raises Concerns Over Bitcoin’s Recovery
- Bitcoin recovered from below $90,000, hinting at bullish prospects.
- The supply of major stablecoins (USDT, USDC, BUSD, DAI) has stabilized around $189 billion.
- The stablecoin supply’s 30-day net change is just 0.37%.
- Stablecoin inflows were $27.3 billion during November-December but only $14.68 billion in Q1 2024.
- U.S. inflation data expected to show a 0.3% month-on-month rise in December.
The stabilization of the stablecoin supply at approximately $189 billion with minimal net change suggests limited new capital inflows into the market, raising concerns about Bitcoin’s recent recovery sustainability amid upcoming U.S. inflation data releases.
