What Falling USDT Supply Means for Bitcoin’s Price Recovery

CryptoQuant contributor MorenoDV warned that Bitcoin’s rebound is outpacing stablecoin liquidity as Tether’s USDT market capitalization fell by nearly $1 billion over five days. The analysis said USDT expansion had supported earlier rallies by adding dollar-denominated trading capacity, but has recently been interrupted by contractions. Bitcoin traded near $83,000, up more than 1% in 24 hours but 34% below its record above $126,000. Santiment data showed wallets holding 10 to 10,000 BTC added almost 89,000 BTC since September 19, lifting their combined balance above 13.69 million BTC, while HashKey’s Tim Sun said higher borrowing costs have weakened some corporate treasury demand.