Record stablecoin liquidity and Bitcoin trading volume surge may drive Bitcoin price surge

BlockBeats news, October 9, a record number of US dollar stablecoins and a surge in large Bitcoin transactions may lay the foundation for a broader rise in BTC in the coming weeks, keeping the asset's bullish seasonality intact in October.

CryptoQuant data shows that stablecoin liquidity continued to grow to a record $169 billion at the end of September, up 31% year-to-date.

Dominant is still Tether's USDT, whose market value increased by $28 billion to nearly $120 billion, accounting for 71% of the market share; and Circle's USDC, whose market value increased by $11 billion to $36 billion, up 44% year-to-date, accounting for 21% of the market share.

Historical trends show that there is a clear correlation between the number of stablecoins held by cryptocurrency trading platforms (up 20% this year) and rising Bitcoin prices. Julio Moreno, head of research at CryptoQuant, said: "The larger the balance of stablecoins in the trading platform, the higher the price of Bitcoin and other cryptocurrencies. Since the official start of this bull market cycle in January 2023, the total amount of USDT (ERC20) in exchanges has increased from US$9.2 billion to US$22.7 billion (+146%)."