Stablecoin Drop Shakes BTC Liquidity

Decline in Stablecoin Supply Threatens Crypto Liquidity

In the crypto market, liquidity decline—with stablecoin supply dropping 5.6 billion dollars year-to-date from 159 billion to 153.4 billion (CryptoQuant)—poses a significant obstacle for Bitcoin (BTC) and the overall ecosystem. Matrixport noted that stablecoins are the main liquidity vehicle for digital assets and that supply stagnation signals capital flowing to fiat. Stablecoin reserves on Binance have shrunk by 19% since November 2025 (Cointelegraph).

All ERC-20 stablecoins, total supply, year-to-date chart. Source: CryptoQuant

Bitcoin Decouples from Gold: Digital Gold Narrative Ends

Bitcoin has decoupled from gold in the short term, with the 90-day Pearson correlation dropping to -0.75 (CryptoQuant). CryptoQuant CEO Ki Young Ju emphasized that BTC is no longer "digital gold."

Source: Ki Young Ju

Capital Flees to Gold and Silver Amid Trump Tariffs

US President Donald Trump's global customs tariff plan, currently at 10% effectiveness and under discussion to rise to 15%, has increased uncertainty. Bitget chief analyst Ryan Lee stated that due to geopolitical tensions, capital is shifting to precious metals and AI stocks, limiting the BTC and Ethereum (ETH) rally. While gold rose 19%, silver 21%, BTC fell 27% (TradingView). Tether Gold (XAUT) market cap increased 20% in the last 30 days to 2.7 billion, with holder count up 33% (RWA.xyz). The tokenized commodity market exceeded 6 billion dollars on February 11.

Bitcoin, Gold, Silver, year-to-date chart. Source: Cointelegraph/TradingView

XAUT market capitalization, all-time chart. Source: RWA.xyz

Institutional BTC Holders and ETH Losses: Latest Developments

In recent news, Turkish company Net Holding (NTHOL.IS) rose to 74th among the largest institutional holders with 352 BTC. MicroStrategy CEO Michael Saylor continues BTC purchases with common shares during preferred share sales, maintaining the HODL strategy. In contrast, Bitmine is experiencing 8.8 billion dollars in unrealized losses due to ETH's 60% drop over the last 6 months.

BTC Technical Outlook: Oversold and Strong Supports

BTC is currently at 63,013.75 dollars, down -5.02% in 24 hours. RSI at 29.26 is in oversold territory, trend is downward, and Supertrend is giving a bear signal. EMA 20: 69,429. Supports: S1 59,938 (strong, -4.91%), S2 49,684. Resistances: R1 64,398 (strong, +2.17%), R2 78,962. Click for detailed BTC analysis. BTC futures should be closely monitored. XAUT price strengthens the gold alternative.