Crypto market rebound may stall as stablecoin supply shrinks

Stablecoin Market Cap Decline Signals Liquidity Pressure for BTC

Stablecoin market cap decline has become an important signal for the crypto market at a time when liquidity is tightening, and investor confidence remains mixed. Recent data shows a noticeable drop in the combined value of the two largest dollar-pegged stablecoins, highlighting a change in how capital is moving within digital asset markets.  This decline suggests that investors are pulling funds out of crypto-based cash positions instead of keep…

Stablecoin Supply Begins To Shrink After Months Of Growth

After months of steady expansion through 2025, stablecoin supply across the crypto market is now moving in the opposite direction.

Investors Exit Crypto To Fiat As Stablecoin Supply Drops $2.2bn » News.ng

Stablecoin supply has continued to decline in recent days, pointing to a broader withdrawal of capital from the cryptocurrency market as Bitcoin struggles to regain momentum. Over the past ten days, the combined market capitalisation of the top stablecoins has fallen by approximately $2.24 billion—a move that has closely coincided with Bitcoin’s slide from around $95,000 to below $89,000. Data from on-chain analytics firm Santiment shows that th…

Crypto market rebound may stall as stablecoin supply shrinks

A sharp drop in stablecoin supply is raising concerns that a crypto market recovery may lack the liquidity needed to gain significant momentum. On-chain data shared by Santiment on Jan. 26  showed that the combined market capitalization of the 12…