Bitcoin’s price has dipped below the $60,000 mark, driven by a halt in stablecoin purchases by institutional investors. According to on-chain analysis platform Lookonchain, the sudden cessation of buying activity led to a 4.5% drop in Bitcoin’s value today.
The analysis revealed that institutions stopped receiving USDT from Tether Treasury and transferring it to exchanges two days ago. This pause in transactions follows a significant movement of funds earlier in the month. On August 9, Lookonchain monitored the transfer of 1.3 billion USDT from Tether Treasury to exchanges, a reaction to the market crash on August 5.
Sentiment towards risk-driven markets remained strained, especially in anticipation of key US inflation data on Wednesday, which is set to offer more cues on the Federal Reserve’s plans for interest rate cuts.
While stock markets saw some recovery in recent sessions, with Asian shares advancing on Monday, crypto lagged this rebound, given the market’s more speculative nature.
