USDT holdings on exchanges have increased rapidly since August. Considering that USDT did not show much fluctuation due to price fluctuations from March to July, this is a noteworthy change.
When stablecoins flow into exchanges and increase their holdings, it is generally interpreted as funds waiting to buy, which will have a positive effect on the price. Of course, increasing holdings does not necessarily mean the price will rise.
Because it is ‘standing-by funds,’ it should be noted that if the market trend is unclear or the global economy is difficult, there may be no purchases due to risk aversion.
Written by Yonsei_dent
