Stablecoin supply is contracting at the fastest pace in more than four years, according to Glassnode's November 11 report Running on Empty. The supply of major stablecoins fell by $14.2 billion over the past 30 days, the largest decline since the 2022 crypto bear market. By comparison, the 30-day contraction approached $30 billion in June 2022, roughly five months before Bitcoin bottomed near $15,500. Total stablecoin supply now sits just below $280 billion, a level last seen in September 2025.
Glassnode said the contraction means holders are redeeming stablecoins for dollars and taking cash out of the market, leaving less fuel for a rally. A separate CryptoQuant report noted that Tether's USDT market capitalization fell $6.6 billion over the 60 days through Nov. 7, more than twice the $3.2 billion drop in December 2022 after FTX's collapse. USDT accounts for roughly 62.8% of stablecoin supply, followed by Circle's USDC at 25.1%.
Tether and Circle together redeemed $4.4 billion in the week to Nov. 7. Eight of the ten largest dollar tokens shrank, while Ethena's USDe and Ripple's RLUSD grew by $0.40 billion and $0.27 billion respectively. The heaviest single redemption days were Oct. 29, Nov. 3 and Nov. 7, each above $1.4 billion.
Bitcoin ETF outflows added to the pressure, with roughly $1.58 billion leaving across Nov. 2–10, including $201 million on Nov. 9 and $95 million on Nov. 10. Bitcoin traded around $74,300 on Nov. 11, below the $75,600 short-term-holder cost basis and the $77,800 election-day close. Glassnode sees $73,000 as a downside reference and $77,500 as the True Market Mean.
Despite the drains, Glassnode's accumulation model shows two whale cohorts—wallets holding 100–1,000 BTC and 1,000–10,000 BTC—are adding coins, while other size bands are distributing. Glassnode said a return to stablecoin supply growth would be the first sign that new money is coming in; CryptoQuant added that a local Bitcoin bottom could form before USDT supply flips back to positive.
