Crypto addresses depositing stablecoins hit a new all-time high (ATH)

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According to blockchain analytics firm CryptoQuant, coin addresses depositing stablecoins on derivatives exchanges have hit a new all-time high (ATH). The spike comes as volatility in the US consumer price index (CPI) rose just 0.1% in November from around 0.4% the previous month.

According to CryptoQuants analyst Woo Minkyu, this would indicate that buying pressure is getting stronger than ever OR that more and more investors are getting involved in derivatives trading.

Additionally, Federal Reserve (FED) Chairman Jerome Powell mentioned another 50 basis point (bps) rate hike at the eighth and final Fed meeting this year.

The ultimate level of rates will have to be a little higher than expected at the September meeting in the summary of economic projections.

Fed Chairman Jerome Powell

Federal Open Market Committee (FOMC) meetings have, on a regular basis, triggered bearish financial and crypto markets in the past. Nonetheless, the latest FOMC meeting on December 13-14, according to CryptoQuant analyst Nino, has once again sent prices crashing.

After the meeting, the global crypto market capitalization fell to $806 billion, at the time of writing, from around $870 billion at the time of the FOMC meeting, according to data provided by CoinMarketCap (CMC).

On the other hand, Nino found that the long-term holder (LTH) spent output profit ratio (SOPR) increased despite all the uncertainty. This means that long-term bitcoin (BTC) holders with a lifespan of more than 155 days have sold their assets and made a profit.

Bitcoin is currently trading at $16,748, down around 2% in the last 7 days.

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