Today, the cryptocurrency market is not feeling the best. The largest coins in terms of market capitalisation have given out a drawdown of several percent, and Dogecoin has dropped the most. On the scale of the day, the coin fell in price by 8 per cent.

Rates of the largest cryptocurrencies by market capitalisation today

At the same time Bitcoin fell to a local minimum at $60,164.

The reason for the collapse was Iran’s massive attack on Israel last night, which involved about 200 ballistic missiles. Most of the missiles were reportedly shot down, with the US and UK militaries assisting Israel in doing so.

The attack on Israel on 1 October 2024

The event ended similar to previous such incidents. Israel’s leadership promised that Iran would regret the decision, at the same time Iranian representatives said they were ready to do the same again in case of a response.

New reason for Bitcoin’s rise

In an interview with reporters from The Block, Moreno cited data from CryptoQuant showing a net inflow of stablecoins to centralised crypto exchanges over the past two months.

We’re talking about dollar-pegged coins that investors wind up on trading platforms – in most cases, this is done for the subsequent purchase of full-fledged cryptocurrencies like BTC, ETH and SOL. Here’s an expert’s comment on the matter.

The volume of stablecoins on exchanges has grown. For example, USDT reserves on platforms have reached a record $22.5 billion in 2024.


This means that stablecoin holders see opportunities in what has been happening with the market over the past few months. With this in mind, they are sending stable-price tokens to trading platforms to then increase their own volumes of popular coins at suitable rates.


Stablecoin reserves on centralised cryptocurrency exchanges

The analyst also mentioned a statistic according to which the capitalisation of stablecoins this year reached a record high of $169 billion. And this is quite an important factor in the context of the crypto market, Moreno believes.

The overall capitalisation of the stablecoin sphere is positively correlated with the growth of Bitcoin’s price.

Top Stablecoins by capitalisation in the cryptocurrency industry

A recent CryptoQuant research note says that the net inflow of Stablecoins to centralised exchanges can serve as an important indicator for predicting the future price of BTC. Here’s the experts’ commentary.

Interestingly, in September, we observed a high correlation between the BTC price and net inflows of stablecoins to exchanges. In particular, the net inflow of stablecoins influenced the rise in the value of the main cryptocurrency seen at the end of September.

Again, it’s simple here: the more stablecoins arrive on exchanges, the more willing to buy crypto for these coins. More often than not, an increase in their volume indicates an increase in demand. However, stablecoins do not stay on exchanges for long, but instead are converted into BTC and altcoins.

Hourly chart of the Bitcoin BTC rate on the Binance exchange

In a separate report, representatives from analytics platform K33 Research described bullish factors for Bitcoin as the market has already moved into the fourth quarter, which is traditionally considered positive for investments.

The US Federal Reserve’s policy change has already provided a boost, and China’s efforts to increase liquidity will surely encourage further activity in the global market.

Recall, China has moved to stimulate its own economy the day before. In addition, the country is carrying out aggressive cuts in the base interest rate, which should increase the activity of economic agents and make them show interest in more and more investment instruments.

In addition, a K33 Research report published on Tuesday said that the approval of Bitcoin-ETF-based options by major investment firm BlackRock in September is another factor contributing to optimism in the market. It is believed that they will make it easier for more and more investors to access digital asset-based instruments.

Another interesting trend concerns the relationship between the financial flows of different categories of market players. As it turned out, in early October, institutional investors outpaced ordinary retail players in increasing the volume of BTC purchases.

And this happens despite the fact that this month is traditionally considered bullish for the cryptocurrency. Although retail investments remain at a level that is considered normal, larger players are increasing their positions.

BTC bitcoin inflows to exchanges

Data from exchanges popular among retail participants like OKX and Binance show minimal activity compared to the situation in 2021 and 2022. The number of active wallets on these exchanges is less than 40 thousand per day – and this is even less than during the bear trend, when BTC was worth less than $10 thousand and the number of active wallets reached approximately 50 thousand units per day.

This feature is notable because October has only twice ended in the negative since 2013, while the average Bitcoin price growth for the month was 22 per cent. In better years, it even reached the 60 per cent level, Coindesk reported.

Retail investors, which most often include individual market players, are generally perceived as less informed and more emotionally exposed to market changes. Institutional investors, on the other hand, often referred to as “whales,” do large deals and are characterised by significant market influence.

Bullrun on the cryptocurrency market

The influx of retail funds may indicate an increase in optimism before a new round of bullruns form, as bullruns usually represent just a gradual distribution of coins from the largest investors to new market participants.


The cryptocurrency market's growth in September did look compelling. And although digital asset rates collapsed last night amid geopolitical tensions, experts still expect October to be positive for the industry. Anyway, the previous five bullruns in crypto started just this month.