Money is leaving the crypto market, and the signs are hard to ignore. The latest proof is that Binance, the world’s largest crypto exchange, is sitting on far less cash than it was just a few months ago.
The exchange has lost $10 billion in stablecoin reserves since November. That is an 18.6% drop, bringing the total down from $50.9 billion to $41.4 billion—the lowest figure recorded since October 2025. Blockchain data firm CryptoQuant spotted the trend. Darkfost, a prominent cryptocurrency on-chain analyst, pointed out that this kind of pullback usually happens for a reason.
Stablecoins parked on exchanges usually signal that investors are ready to buy. When those reserves fall, it means people are walking away from the market altogether—not waiting on the sidelines, but cashing out for regular currency. That is exactly what appears to be happening now.
Where Is the Money Going?
Binance still controls nearly 64% of all stablecoin reserves held across crypto exchanges worldwide. But even that commanding position cannot mask what the data is showing. Fresh money is simply not coming in to replace what is leaving.
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Darkfost put it plainly—the biggest problem facing crypto right now is the lack of new liquidity entering the market. He does not see that changing anytime soon.
The situation gets harder when you factor in US interest rates. Lower rates generally push more money into riskier assets like crypto. But Federal Reserve Governor Christopher Waller said on Monday that rates may stay unchanged at the March meeting, depending on upcoming jobs data.
Futures markets back that view, pricing in a 95.5% chance of no rate cut next month. For crypto markets already struggling for oxygen, that is unwelcome news.
