Focusing on the US CPI inflation data, Bitcoin (BTC) and the broader crypto market staged a strong recovery that began yesterday evening.
While the Bitcoin price increased by 2.8% in the last 24 hours and rose above the $61,000 level, it is thought that the strong stablecoin inflows that occurred last week were effective in this rise.
At this point, 10X Research founder Markus Thielen said that the increase in stablecoin issuance affects Bitcoin price movements and could be the key to its next rise.
Noting that a total of approximately $2.8 billion worth of USDT and USDC were issued by Tether and Circle last week, Thielen said that this showed that some institutional investors were pouring new capital into the cryptocurrency market.
According to Thielen, if this situation continues, Bitcoin could rise even further.
“Approximately $2.8 billion was issued by stablecoin providers Tether and Circle early last week, indicating that some institutional investors are injecting new capital into the cryptocurrency market.
If this stablecoin issuance (not just printing) trend continues, Bitcoin could rise even further.”
Stablecoin Inflows Could Be Key to Bitcoin’s Rise!
Stating that a sustainable rise in Bitcoin will likely come through stablecoins and that strong stablecoin inflows will require real buying and bullishness, Thielen said:
“A strong stablecoin inflow is essential for a sustained BTC rally, especially given that other factors have had less of an impact on Bitcoin’s rally this year.”
Markus Thielen finally stated that if the Bitcoin price can stay above $ 60,000, there is hope for a continuation of the rise, saying, “this rise should be supported by stablecoin inflows, because without stronger stablecoin inflows, this rally may not continue.”
*This is not investment advice.
