Stablecoin inflows into centralized exchanges surge, suggesting a potential Bitcoin (BTC) and altcoins buying spree

The two leading stablecoins are seeing increased inflows into centralized exchanges, suggesting a potential buying spree.

Key stablecoins are seeing increased inflows into centralized exchanges, suggesting a potential buying spree.

The two leading stablecoins are seeing increased inflows into centralized exchanges, suggesting a potential buying spree.

According to data provided by IntoTheBlock, Tether (USDT) saw its exchange net flows rise from a net outflow of $43 million on Nov. 2 to a net inflow of $218 million on Nov. 4.

Data also shows that USD Coin’s (USDC) CEX net flows shifted from a net outflow of $18.5 million on Nov. 3 to a net inflow of $33.6 million yesterday.

The total amount of stablecoins entering cryptos exchanges surpassed the $250 million mark on Nov. 4, ITB data shows.

Bullish case for Bitcoin and altcoins

Stablecoin inflows usually suggest the investor enthusiasm to accumulate Bitcoin (BTC) and altcoins. According to data from CoinGecko, the global crypto market capitalization has already started rising from its local low of $2.33 trillion to $2.39 trillion — marking a $60 billion recovery in less than a day.

The daily whale transactions consisting of at least 100,000 USDT and USDC also increased by 187% and 190%, respectively, reaching $6.62 billion and $8.93 billion, per ITB data.

Increasing whale activity could potentially create the fear of missing out, also known as FOMO, among market participants. It could also show a sign of potential recovery after the market-wide correction.

According to ITB, the total stablecoin market cap declined from $172 billion to $169 billion over the past month.

One of the main factors behind the market correction was the start of BTC exchange-traded fund outflows this month. Per a crypto.news report, spot Bitcoin ETFs in the U.S. saw their second-largest outflow on Monday, worth $541.1 million. The outflows came after the investment products recorded a net inflow of over $5 billion last month.

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