Ethereum stablecoin holders transferred billions to centralized exchanges following the outcomes of the 2024 U.S. presidential election.
After Donald Trump was declared the winner, Binance and Coinbase obtained the second-largest tranche of Ethereum stablecoin deposits in crypto historical past. Customers moved roughly $4.3 billion to Binance, whereas Coinbase obtained round $3.4 billion, totaling $9.3 billion in ERC-20 stablecoin transfers on Nov. 6, in accordance with a CryptoQuant analyst.
Giant stablecoin inflows have traditionally signaled bullish actions for cryptocurrencies and decentralized finance. In late 2020, comparable large-scale deposits contributed to rising token valuations as customers allotted capital.
Stablecoins are cash-like cryptocurrencies that keep parity with fiat property, just like the U.S. greenback. Tether (USDT) and Circle (USDC), the biggest operators on this sector, boast multi-billion tokens. Over $179 billion sat in crypto stables at press time.
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Researchers from the U.S. Treasury Division discovered that 80% of all crypto transactions over the previous yr concerned fiat-pegged tokens, highlighting that almost all digital asset traders transact utilizing crypto-stablecoin pairs.
These CEX ERC-20 stablecoin inflows and the post-election market rally spurred widespread bullish sentiment. The crypto worry and greed index hovered within the 70s as Bitcoin (BTC) surged to a brand new all-time excessive of $76,243.
Most altcoins within the high 100 cryptocurrencies and DeFi tokens by market cap adopted go well with as digital asset costs rallied with Trump’s re-election, which many take into account an trade boon. QCP Capital specialists mentioned the market appeared poised for a continued uptrend heading into 2025, per an replace shared on Telegram.
The crypto market has been on hearth with BTC hitting all-time excessive of 75k after touching its earlier file of 73.5k, set again on March 14. Since then, BTC has traded principally inside a decent vary under 70k. Notably, BTC has now navigated three election cycles since its inception in 2009, every adopted by rallies to new highs, with costs by no means dipping again to pre-election ranges.
QCP Capital
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