A widely followed quantitative analyst is revealing what he believes could be the catalyst that triggers Bitcoin’s (BTC) next parabolic rally.
Crypto Quant CEO Ki Young Ju tells his 306,200 Twitter followers that the massive influx of stablecoin USD Coin (USDC) onto crypto exchanges could signal the start of a new Bitcoin bull market.
“Bitcoin’s next parabolic bull run could start as massive USDC flows into exchanges.
For now, 94% of the USDC supply is off exchanges, some of which are owned by TradFis like BlackRock, Fidelity, Goldman Sachs, etc.
They will move when they receive orders from their customers.”
For now, the head of the analytics firm says that native crypto stablecoins like Tether (USDT) and Binance USD (BUSD) are making a comeback on digital asset exchanges.
“For BUSD, 70% of the supply is in exchanges. USDT is 25%.
BUSD exchange reserve is growing despite bear markets, which could indicate that crypto natives are hoarding some coins.”
As for Bitcoin, Ki Young Ju says he is keeping a close eye on an on-chain metric that could indicate BTC is bottoming out.
“BTC the price is now close to the estimated entry price of institutional investors who have been using Coinbase services as a primary brokerage, custody, etc. If you still believe institutions drive this market, this bullish hopium might work for you.”
According to the chart shared by the analyst, Coinbase’s on-chain exit weighted average price could indicate the entry price for institutional investors. With the metric closely embracing recent BTC price action, it could suggest that institutions and wealthy investors are defending their Bitcoin positions.
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