GlossaryStablecoin Suite
Stablecoin Suite
The Stablecoin Suite relates the capital in stablecoins to Bitcoin. The main line shows where this ratio stands within its range over the last 200 days: high means a lot of waiting capital that could flow into Bitcoin. The second line shows whether money is currently flowing into or out of stablecoins.
How to read it
- Main line high: Measured against Bitcoin, there is as much capital in stablecoins as there has been in a long time. This counts as buying power on the sidelines.
- Main line low: Bitcoin has grown large relative to the waiting capital; the reserve for further purchases is relatively small.
- Watch both paths: The ratio also rises if only the Bitcoin price falls. A high value after a sell-off does not mean new money has arrived. Only the flow line shows that.
- Flow line above zero: The stablecoin supply is growing, and new money is entering the crypto market. Below zero, stablecoins are being redeemed and money is leaving the market.
- The main line is relative to the last 200 days. 1 means the high of this window, not a lot in absolute terms.
Good to know
- The series are market-wide and do not depend on the symbol in the chart. The study is only available on Bitcoin charts.
- Only meant for daily candles: all windows count days.
- The main line only starts after about 200 days of data, the flow line after a little over 60 days plus smoothing.
- Only dollar stablecoins count, not euro or other stablecoins.
- No settings other than the style.