Investors Flee to Stablecoins, Pushing Inflows to $98B Amid Sell Pressure - Crypto Economy

TL;DR

• Stablecoin inflows to exchanges rose from $51 billion to a range of $98 to $108 billion, surpassing the 90-day average.
• The increase was concentrated in ERC-20 stablecoins on the Ethereum network.
• Bitcoin trades near $66,300, while miners posted just $28 million in revenue against a production cost of $87,000.

Stablecoin inflows to exchanges have doubled in recent weeks, even as the crypto market posts a deep and sustained correction. Onchain data shows that the weekly average inflows in the stablecoin market, measured using a seven-day moving average, climbed from $51 billion to a range of $98 to $108 billion. The current level stands above the 90-day average, which sits at $89 billion.

The increase is primarily visible in stablecoins issued on the Ethereum network under the ERC-20 standard. In late December, inflows had fallen back to $51 billion, driven by forced selling and a reduction in leverage. Since then, deposits have resumed an upward trajectory, even as selling pressure remained elevated across major crypto assets.


Bitcoin Plunged to $60,000 and Then Rebounded

Bitcoin trades at $66,300 after falling more than 30% year to date and nearly 50% from the all-time high recorded in October 2025. The sell-off triggered widespread liquidation across multiple wallet cohorts and accelerated a capitulation process comparable to the one seen during the October drawdown. At the same time, daily mining revenue dropped to $28 million, the lowest level recorded this year.

The average cost to produce one bitcoin stands near $87,000, well above the current market price. That gap weighed on mining profitability and led to a pullback in activity. The hashrate index declined from $64 per PHS per day in July to $27 per PHS per day as of February 6, according to data from the Hashrate Index.


Smaller Stablecoins Gain Ground Against USDT and USDC

The internal market dynamics were compounded by heavy outflows from U.S. spot Bitcoin ETFs. Over the past three days, the funds recorded withdrawals exceeding $1.25 billion. The largest daily outflow occurred on February 4, totaling $544.94 million, followed by $434.15 million on Thursday and $272.02 million on Tuesday.

In the stablecoin market, total capitalization fell 1.0% week over week to $305.1 billion. USDT and USDC posted supply contraction, while other mid-cap stablecoins such as USDS and USD1 managed to strengthen their position within the industry