Record $9.7B Stablecoin Earnings Could Drive Bitcoin To $100K
Stablecoin flows into crypto exchanges hit a monthly high, indicating increased investor interest in the market. The increase could put Bitcoin on track to reach the $100,000 milestone before the end of November.
Stablecoin revenue to crypto exchanges rises to more than $9.7 billion in a new month.
This could indicate an increase in investor interest in crypto, according to Leon Weidman, head of research at the Onchain Foundation, in a November 21 post.
“Stablecoin flows to exchanges reach $9.7B in 30 days! Largest monthly inflow ever. Stablecoin liquidity is back. Speculative demand continues to explode!”
Stablecoin net income to exchanges. Source: Leon Weidman
Recorded monthly stablecoin gains could push Bitcoin (BTC) to $100,000 before the end of November, historically the biggest month for BTC returns.
The addition of stablecoins to crypto exchanges could signal an influx of buying pressure and an increase in investor appetite, as stablecoins are major investors in the fiat-to-crypto world.
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Can Stable Coin Earnings Push Bitcoin Over $100,000?
An increase in the flow of stablecoins could have a significant impact on the price of the world's first cryptocurrency.
Tether lost $1.3 billion USDt (USDT) from August 5-9 as Bitcoin fell to a five-month low of $49,500 before starting a recovery. Bitcoin staged a Tether-enhanced 21% recovery to $60,200 on August 9.
Related: Shiba Inu whale holds 10% of SHIB supply from 250,000x to $2.5B.
Some analysts expect Bitcoin to reach $100,000 before the end of the month, Ryan Lee, chief analyst at Bitget Research, told Cointelegraph.
“If history repeats itself and Bitcoin prices grow as planned, 14.7% from current price levels will put the coin above the $100,000 monthly target. The post-half cycle trend is also very positive in predicting Bitcoin's future.”
Bitcoin ETF Flow (USD, million) Source: Farside Investors
Spot Bitcoin exchange-traded fund (ETF) earnings continue to support Bitcoin's price appreciation. U.S. bitcoin ETFs collected more than $773 million worth of total net positive inflows on Nov. 20, the third green day in a row, according to Farside Investors data.
The U.S. spot Bitcoin ETF posted a sixth straight week of net positive gains after accumulating more than $1.67 billion in the trading week of November 11-15.
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