Source: CryptoNewsNet
Original Title: The Latest Change in the USDC-USDT Ratio May Be Signaling Something in Bitcoin – Here’s What It Means
Original Link: https://cryptonews.net/news/bitcoin/32216495/
According to the latest assessment shared by CoinKarma, the cryptocurrency market has re-entered an intrinsic trading phase.
Due to the absence of a net inflow of external capital, short-term price movements are largely driven by changes in fund circulation and liquidity within the market. CoinKarma notes that following a period of consolidation, some signs of reversal in internal fund behavior have been observed.
The USDC/USDT premium index turning positive indicates that USDC is trading at a premium compared to USDT. This suggests a significant decrease in selling pressure from dominant market participants, particularly in the BTC/USDT pair. Historically, such premium movements coincide with periods of weak selling pressure in the short term.
The overall market liquidity index stands out as a comprehensive indicator reflecting the weighted liquidity level across the entire market. According to CoinKarma, the fact that the USDC/USDT premium index and market liquidity indicators are moving in the same direction again strengthens the possibility of a bottom formation in the short term.
Although the possibility of a short-term recovery is increasing, CoinKarma emphasizes that the medium-to-long-term outlook remains negative. They warn that market fragility could persist, particularly if trend-based selling pressure re-emerges.
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
The Latest Change in the USDC-USDT Ratio May Be Signaling Something in Bitcoin – Here's What It Means
Source: CryptoNewsNet Original Title: The Latest Change in the USDC-USDT Ratio May Be Signaling Something in Bitcoin – Here’s What It Means Original Link: https://cryptonews.net/news/bitcoin/32216495/ According to the latest assessment shared by CoinKarma, the cryptocurrency market has re-entered an intrinsic trading phase.
Due to the absence of a net inflow of external capital, short-term price movements are largely driven by changes in fund circulation and liquidity within the market. CoinKarma notes that following a period of consolidation, some signs of reversal in internal fund behavior have been observed.
The USDC/USDT premium index turning positive indicates that USDC is trading at a premium compared to USDT. This suggests a significant decrease in selling pressure from dominant market participants, particularly in the BTC/USDT pair. Historically, such premium movements coincide with periods of weak selling pressure in the short term.
The overall market liquidity index stands out as a comprehensive indicator reflecting the weighted liquidity level across the entire market. According to CoinKarma, the fact that the USDC/USDT premium index and market liquidity indicators are moving in the same direction again strengthens the possibility of a bottom formation in the short term.
Although the possibility of a short-term recovery is increasing, CoinKarma emphasizes that the medium-to-long-term outlook remains negative. They warn that market fragility could persist, particularly if trend-based selling pressure re-emerges.