Bitcoin Whales Looking To Buy The Dip As $222 Million Worth Of Stablecoins Flow Into Exchanges:
On-chain data shows huge inflows of $222 million worth of stablecoins on exchanges, suggesting Bitcoin whales might be looking to buy the dip.
Centralized Exchanges Observe $222 Million Worth Of Stablecoin Inflows
As pointed out by a CryptoQuant post, centralized exchanges saw inflows of more than $222 million worth of stablecoins yesterday. The timing of this huge spike seems to match up with that of Bitcoin’s price showing a dip.
The exchange inflow is an indicator that shows the amount of stablecoins entering centralized exchanges from personal wallets.
When the value of this metric goes up, it means more investors are sending their coins to these exchanges for buying other cryptocurrencies like Bitcoin.
Similarly, when the stablecoins inflow indicator goes down, it could imply traders aren’t interested in trading their coins. They may want to wait to see how the price of volatile crypto moves before buying into the market.
Opposite to the above metric is the outflow indicator. And the difference between these two gives the netflow. Positive netflow implies more inflows, while negative means more outflows. Now, here is how the chart of this metric looks like right now:
The stablecoins netflows (red) spiked up on 16 August | Source: CryptoQuant
As the above graph showcases, the value of this indicator shot up yesterday as $222 million worth of stablecoins flew into centralized exchanges.
Interestingly, BTC’s price (the yellow curve in the chart) had a dip from $47.5k to $46k just preceding the above spike.