Bitcoin’s recovery faces new threat as $14.2 billion in stablecoin supply disappears in one month

Bitcoin has another problem on its hands: $14.2 billion in stablecoins has left circulation in just 30 days, according to a Wednesday report from Glassnode. It’s the steepest monthly withdrawal since 2022, just as buyers struggle to stop the slide. Stablecoins are the money traders usually park inside crypto before placing their next bet. When their supply shrinks, some of that money has been cashed out rather than recycled into coins. Tether trading a little below $1 adds to the uneasy picture. Glassnode said a return to growth in stablecoin supply would give traders something concrete to watch. In June 2022, roughly $30 billion vanished in 30 days. Bitcoin eventually sank to $15,500 that November.

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