Stablecoin Exchange Inflow Mean Hits ATH, Why This Could Be Bullish For Bitcoin

On-chain data shows the stablecoin exchange inflow mean has reached a new all-time high, here’s why this might prove to be bullish for Bitcoin. Stablecoin Exchange Inflow Mean Has Surged Up To A New ATH Recently As pointed out by an analyst in a CryptoQuant post, these inflows can be positive for Bitcoin in the long term, but might be bearish in the short term. The “stablecoin exchange inflow mean” is an indicator that measures the average amount of stablecoins per transaction going into the wallets of centralized exchanges. As stablecoins are relatively stable in value (as their name already implies) due to them being tied to fiat currencies, investors in the crypto space use them for escaping the volatility associated with most other coins. Once these holders feel that prices are right to enter back into volatile markets like Bitcoin, they convert their stables into them using exchanges. Because of this, a large number of these coins moving into exchanges can provide buying pressure for the volatile cryptos, and hence surge up their prices. Now, here is a chart that shows the trend in the stablecoin exchange inflow mean, as well as the corresponding Bitcoin prices, over the last couple of years: The value of the metric seems to have been pretty high in recent days | Source: CryptoQuant As you can see in the above graph, the stablecoin exchange inflow mean has observed some sharp uptrend in recent weeks...