Hello my fellow bloggers! It seems market correction is finally over and we are ready for the next upside move! Stablecons movements shows some interesting pattern. Let’s dive in and investigate!
Source
Stablecoins are commonly referred as blood of cryptomarket. The volume of BTC purchased with stablecoins exceeds the same metrics for USD or any other fiat currency. The general rule, the more stablecoins are sent to exchanges, the bigger is uptrend for various cryptocurrencies. In the last 3 days we saw $5,41 billion in stablecoins were sent to exchanges.
Source
The chart shows only 4 stablecoins, so the overall number is slightly bigger. The question is, how can we know if this sum is enough to push the market up or not? How much do we need exactly? It is easy to answer this question. We just need to open coingecko and check. Market depth parameter will show how many USDT do you need to move the price by 2% on an exchange.
Source
For example, to move BTC price up on Binance, you need to set a purchase order on $29 million USDT. For altcoin the size of market depth is significantly smaller. On the same Binance you just need roughly $2.8 million to raise the price of ADA. Let’s do a small thought experiment. We will assume that 0.5% of all inflow of stable coins will be sent to Binance to purchase ADA. It would be enough to push ADA up for 10%. And this is for #7 project by total market cap on the largest exchange. In other words, $5.41 billion is enough to make a difference despite of a total market cap of the market being close to $2 trillion. This is another bullish sign on top of many others for the market.
Other articles you might enjoy
CBDC: future of money or an ultimate surveillance tool?
What reaching $2 trillion in market cap means for crypto
No one believes Bitcoin price is fair
Bitcoin achievement nobody is talking about
Disclaimer
I’m not a financial of any kind. I encourage you to check all information yourself and make decision only based on your own opinion. All articles are created for solely entertainment purpose.
If you like this post please vote for it and follow my blog. Feel free to share your thoughts in comment section.
Posted Using LeoFinance Beta