Stablecoin market fall shows flight to gold, not Bitcoin: Santiment
Bitcoin has fallen nearly 30% since a major market crash in October, while gold and silver have soared to new highs.
A $2.24 billion drop in total stablecoin market capitalization over the last 10 days could signal capital is leaving the crypto ecosystem and may delay market recovery, according to a crypto analytics platform.
In a post to X on Monday, Santiment said much of that capital has rotated into traditional safe havens like gold and silver, pushing them to new highs, while Bitcoin (BTC), the broader crypto market and stablecoins have retraced.
“A falling stablecoin market cap shows that many investors are cashing out to fiat instead of preparing to buy dips,” Santiment said, adding that rising demand for gold and silver suggests “investors are choosing safety over risk.”