Digital money is still flowing into Binance as the selloff continues, keeping the exchange’s reserves close to record highs.
By Wahid Pessarlay
Editor Julia Sakovich
Updated
2 mins read
Binance, the largest cryptocurrency exchange by trading volume, recorded a significant decline in its digital asset reserves over the past week.
The top exchange witnessed an $8 billion plunge in its Bitcoin BTC $111 371 24h volatility: 1.2% Market cap: $2.22 T Vol. 24h: $67.87 B , Ethereum ETH $4 028 24h volatility: 3.3% Market cap: $485.72 B Vol. 24h: $39.58 B , Tether USDT $1.00 24h volatility: 0.0% Market cap: $181.44 B Vol. 24h: $126.65 B , and USD Coin USDC $1.00 24h volatility: 0.0% Market cap: $76.04 B Vol. 24h: $17.57 B reserves over the last seven days, according to an X post by CryptoQuant analyst Julio Moreno.
https://twitter.com/jjcmoreno/status/1978658307100315887
Moreno hinted at the pre-crash market conditions when Binance’s reserve value was “growing” by roughly $14 billion due to inflated asset prices.
The CryptoQuant analyst’s post showed that Ethereum-based USDT reached an all-time high of $38.2 billion on Binance.
Fear, doubt, and uncertainty keep dominating the crypto due to bearish sentiment ahead of macro events like the new set of US tariffs on China.
Investors have been depositing their crypto assets into Binance, preparing for the forthcoming market movements. The leading exchange saw a net inflow of $3.6 billion over the past 24 hours, according to data from DefiLlama.
It’s important to note that exchange inflows do not necessarily mean an absolute selloff. They could also hint at stablecoin inflows for potential buying opportunities, as Bitcoin and the broader cryptocurrency ecosystem have been wandering in the red zone.
For instance, on Oct. 12, a $1.4 billion USDT inflow into Binance triggered a short-term market-wide recovery right after a record $19.4 billion liquidation event between Oct. 10 and 11.
Currently, CoinGlass data shows a 226.8 million USDT and a 417.5 million USDC net inflow into Binance over the past day.
The movement could potentially increase the bullish sentiment, which could trigger a buying spree unless another macro event hits the financial markets.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Wahid has been analyzing and reporting on the latest trends in the decentralized ecosystem since 2019. He has over 4,000 articles to his name and his work has been featured on some of the leading outlets including Yahoo Finance, Investing.com, Cointelegraph, and Benzinga. Other than reporting, Wahid likes to connect the dots between DeFi and macro on his newsletter, On-chain Monk.
