Analyst: Since August, the amount of USDT held by exchanges has rapidly increased

ChainCatcher news, analyst Yonsei_dent on CryptoQuant disclosed that since August, the holdings of USDT stablecoin on exchanges have rapidly increased. However, from March to July, USDT did not experience significant fluctuations due to price volatility.

When stablecoins flow into exchanges and increase in holdings, it is generally understood as funds waiting to be used for purchases, which will have a positive impact on prices. However, an increase in holdings does not necessarily mean that prices will rise. This is because it serves as "backup funds," and if market trends are unclear or the global economy is struggling, it may not be used for purchases due to risk-averse sentiment.