Matrixport: Bitcoin rally stalled by slowing stablecoin inflows

In a recent update on X, crypto services provider Matrixport stated that Bitcoin's rally is unlikely to be sustainable without an increase in its stablecoin minting indicator, attributing the current market consolidation to slowing stablecoin inflows. It suggested the slowdown could be due to issuers maintaining sufficient reserves or weakening market demand. Regardless of the cause, Matrixport emphasized that fresh capital is not entering the crypto market at scale, adding that institutional caution may be linked to the hawkish stance of the December 2024 U.S. Federal Reserve meeting.