Ethereum holds 165 billion USD stablecoin! Surpassing Singapore and India's forex reserves.

The Ethereum ecosystem continues to attract attention, with stablecoin reserves on its blockchain reaching approximately $165 billion, making it the largest stablecoin reserve in the world. Stablecoins issued on the Ethereum blockchain currently have a cumulative reserve of about $165 billion, ranking around 22nd in global forex reserves, surpassing the forex reserves of countries such as Singapore and India.

165 billion USD stablecoin surpasses 80 countries' forex reserves

(Source: MilkRoadDaily, BanklessBalance)

The scale of stablecoins based on Ethereum has reached 183 billion USD, making it one of the largest forex reserve pools in the world. Stablecoins issued on the Ethereum Blockchain currently have a cumulative reserve of approximately 165 billion USD, ranking about 22nd in global forex reserves. This scale surpasses the forex reserves of some countries such as Singapore and India, highlighting the evolving role of Ethereum, which is no longer limited to a decentralized smart contract platform.

This comparison has significant symbolic meaning. Singapore, as a global financial center, has foreign exchange reserves of approximately 300 billion USD. India, as the most populous country in the world and the fifth largest economy, has foreign exchange reserves of about 600 billion USD. Although the stablecoin reserves on Ethereum have not yet reached the levels of these two countries, they have already surpassed the majority of countries worldwide. If Ethereum is viewed as a “digital nation,” its stablecoin reserves could rank in the top 22 globally.

Analysts say that this development shows that the structure of the Ethereum ecosystem is becoming increasingly mature. Stablecoins are being used more and more as collateral, settlement assets, or digital reserve tools, rather than just speculative tokens. “When you really take a close look at all of this and realize the level of integration Ethereum has in stablecoins, you become optimistic about it. Data shows that Ethereum stablecoins rank among the top in the global top 20 forex reserves, second only to the United States,” noted a cryptocurrency investor, BigBob, on X.

The Macroeconomic Significance of Ethereum Stablecoin Reserves

Global Ranking: Ranked about 22nd in forex reserves

Beyond Nations: Foreign exchange reserves exceeding those of most countries, including Singapore and India.

Reserve Function: Used as collateral, settlement assets, and digital reserve tools

Ecological Maturity: Evolving from a speculative platform to financial infrastructure

The accumulation of reserves shows that people's confidence in Ethereum's underlying infrastructure as a fundamental component of digital finance is growing stronger. This confidence comes not only from crypto-native users but also from traditional financial institutions. Wall Street giants like BlackRock and Franklin Templeton choosing to issue tokenized funds on Ethereum is a recognition of its reliability and scalability.

From a technical perspective, Ethereum's ability to support such a large scale of stablecoin is attributed to its contract flexibility and ecological integrity. Major stablecoins like USDT, USDC, and DAI have chosen Ethereum as their primary issuance chain. Although they are also deployed on other chains, the liquidity and application scenarios on Ethereum are the most abundant. This first-mover advantage and network effect make Ethereum's dominant position in the stablecoin space difficult to shake in the short term.

Institutional accumulation of 150 million dollars shows long-term confidence

Institution and trader positioning signals indicate that institutional investors and large traders have strategically positioned themselves for a potential rebound in Ethereum. On-chain data and trading activity show that institutional investors and large traders have strategically positioned themselves for a potential rebound in Ethereum. The increase in long positions reflects investors' interest in spot trading and stablecoin liquidity. For example, some whale wallets hold approximately 39,000 Ether (worth $150 million) in long positions, indicating that major market participants are making significant accumulations.

Market observers point out that these trends resemble the behavior of traditional reserve assets, highlighting Ethereum's potential as a macro capital allocation tool. Investor confidence is strengthening, but execution remains crucial. Token economic models, staking yields, regulatory transparency, and network performance will determine whether Ethereum can maintain its status as a reserve asset.

A long position of 39,000 Ethereum represents a capital commitment of about 150 million USD. Positions of this scale typically come from institutional investors or high-net-worth individuals whose investment decisions are based on in-depth fundamental analysis and long-term value judgment. These whales choose to increase their holdings during price corrections, indicating that they believe the current price is undervalued and that there is significant upside potential in the future.

In the derivatives market, the financing rate has recently turned negative, indicating a balance between long and short positions, suggesting that prices may experience compression in the short term. This dynamic, combined with institutional capital inflows and stablecoin issuance, is likely to influence the trend of Ethereum in the coming weeks and months. A negative financing rate means that short sellers need to pay long holders to maintain their positions, a situation that typically arises when the market is overly bearish, often signaling that a rebound is imminent.

Price breaks below 4000 waiting for catalyst confirmation

(Source: CoinMarketCap)

Under the influence of these development trends, the spot price of Ethereum has weakened. On October 29, the ETH price fell below $4,000; as of the time of publication, its price is $3,912.90. The market seems to be waiting for confirmation of macro trends, including the continued inflow of stablecoins and an increase in on-chain activity, before accelerating upward.

Ethereum price has fallen below $4000, and the market is waiting for confirmation of stablecoin liquidity and network activity. Investors remain cautious, with price consolidation reflecting short-term profit-taking and overall market sentiment. Although on-chain indicators show that funds are still accumulating, further catalysts such as institutional fund inflows or clearer regulatory policies are needed to restore upward momentum.

Such a divergence between price and fundamentals is not uncommon in the cryptocurrency market. The stablecoin reserves on the Ethereum blockchain have reached an all-time high, and institutions are accumulating in large quantities, yet the price is falling; this contradiction often indicates a turning point in the market. Historical experience shows that when the fundamentals improve but the price lags behind, it is often the best time to accumulate positions. Once sentiment shifts, the accumulated positive factors will be released all at once, driving the price to rise rapidly.

Analysts point out that if Ethereum continues to demonstrate its practicality in the real world and its integration with stablecoins, it is expected to solidify its position as a digital reserve. This may support the price to rebound to the range of $4,200 to $4,500 in the medium term. This target price range represents an increase of about 7-15% from the current price, which is considered a relatively conservative forecast.

However, achieving this goal requires the cooperation of several catalysts. First, the continuous inflow of stablecoins needs to be maintained, indicating that the attractiveness of the Ethereum ecosystem has not diminished. Second, network activity needs to increase, particularly the trading volume of DeFi protocols and the revival of the NFT market. Third, institutional capital inflows need to translate from on-chain data into actual buying power in traditional channels such as ETFs. Fourth, an increase in regulatory clarity will reduce the concerns regarding institutional allocation.

Market participants are closely following institutional holdings and on-chain indicators. They hope to observe whether Ethereum's role as a macro digital reserve can drive prices back on track in the short term. Before confirming these trends, Ethereum may continue to fluctuate in the range of $3,800 to $4,000. However, once it breaks through $4,000 and confirms support turning into resistance, the path to $4,200 to $4,500 will become clear.