This Bitcoin Correction Is Different From March 2024—Here’s Why
The current Bitcoin correction phase shows a different pattern in stablecoin supply compared to previous downturns. Stablecoins, particularly Ethereum-based ones, are gaining traction as investors seek to avoid Bitcoin's volatility. This trend indicates that capital is flowing into stablecoins, which may serve as a reserve for future investments in Bitcoin. Recent data reveals that stablecoin supply has increased during Bitcoin's bearish momentum, contrasting with the sideways movement observed in the previous year's downturn. This suggests that investors are positioning themselves for potential entry points into Bitcoin. Although the current market setup is not entirely bullish, the stablecoin supply's stability during this downturn is viewed as a positive indicator for Bitcoin's future. Bitcoin's price has recently declined to $84,000 after a failed recovery attempt above $87,000.
