Stablecoin supply posts biggest drop since June 2022

Stablecoin supply fell by $14.2 billion in the 30 days through Nov. 9, according to blockchain analytics firm Glassnode. The decline was the largest since June 2022, when supply fell by nearly $30 billion.

The latest drop exceeded the $9.5 billion decline recorded as Bitcoin fell below $58,000 on July 1. Stablecoin supply measures the amount of liquidity available in crypto markets. Glassnode attributed the contraction to holders redeeming stablecoins for dollars and withdrawing funds from the market.

Tether’s USDT, the largest stablecoin by market value, traded slightly below its $1 peg, TradingView data showed. Glassnode linked the discount to investors leaving the stablecoin market. A return to growth in the 30-day supply change would mark the first sign of new capital entering the market, the firm noted.

Other indicators pointed to weaker demand for crypto assets. The Bitcoin Coinbase Premium Index remained negative on Wednesday after falling to minus 0.27% on Oct. 29, its lowest level since November 2022. The index compares Bitcoin’s dollar price on Coinbase with its USDT price on Binance.

A negative reading can reflect weaker demand or stronger selling pressure among U.S.-based traders on Coinbase. Bitcoin traded near an 11-week low on Wednesday.

CryptoQuant reported that its Bitcoin demand measure fell by 284,000 BTC in the 30 days through Tuesday. The decline was the largest recorded by the measure since March 2025.

Reviewed and fact-checked by Alex Panasenko on November 12.