Stablecoin outflows from centralized exchanges have slowed sharply even as CryptoQuant’s indicators continue to flag weak market conditions, a sign that investor capital is consolidating rather than leaving the sector, the market data provider said.
Flows on centralized exchanges (CEXs) have stabilized, with outflows totaling just $2 billion over the past month, CryptoQuant said in a statement to Cointelegraph on Tuesday.
By contrast, late 2025 saw $8.4 billion in outflows at the start of the bear market, highlighting the moderation in redemptions, CryptoQuant’s marketing head Nick Pitto told Cointelegraph.
“Capital isn’t rushing out of crypto right now; it’s consolidating, particularly on Binance,” Pitto said, adding that the trend would turn bullish only when reserves begin growing or are deployed into risk assets.
Binance holds 65% of CEX stablecoin reserves in USDT and USDC
According to CryptoQuant’s data, Binance remains the primary hub for stablecoin liquidity, holding $47.5 billion in Tether’s USDt (USDT) and Circle’s USDC (USDC), the two largest stablecoins by market capitalization.
The figure accounts for 65% of total USDT and USDC held across CEXs, and is up 31% from $35.9 billion a year ago.
Major exchanges such as OKX, Coinbase and Bybit lag Binance in stablecoin reserves, with OKX ranking best of the rest at 13% and $9.5 billion.
Coinbase and Bybit account for 8% and 6%, respectively, with reserves of $5.9 billion and $4 billion.
Related: Arkham Exchange pivoting to fully decentralized platform, CEO says
With Binance dominating stablecoin liquidity even as bear market outflows slow, CryptoQuant concluded: “Capital isn’t leaving crypto, it’s concentrating.”
Binance’s stablecoin liquidity is mainly driven by USDT
Binance’s stablecoin reserves are overwhelmingly driven by USDT, with the exchange holding $42.3 billion in the stablecoin, compared to $5.2 billion in USDC.
The exchange has increased its USDT liquidity by 36% year-on-year, while USDC reserves have mainly remained unchanged.
Despite the slowdown in stablecoin outflows, which suggests potential market consolidation, CryptoQuant warned that Bitcoin (BTC) may still decline further before reaching its bottom.
CryptoQuant’s analysts last week reiterated that Bitcoin’s realized price support remains near $55,000 and has not yet been tested.
“Bitcoin’s ultimate bear market bottom is around $55,000 today,” CryptoQuant said.
At publishing time, Bitcoin was trading at $68,206, down about 1.3% over the past 24 hours, according to CoinGecko data.
Magazine: Is China hoarding gold so yuan becomes global reserve instead of USD?