Santiment: Ethereum-based USDT sees biggest net exchange outflow in nearly three months

Santiment said on X that Ethereum-based Tether (USDT) recorded its largest net outflow from exchanges in almost three months. On Friday, net withdrawals totaled 1.29 billion USDT. Santiment noted that outsized USDT outflows often suggest institutions or "whale" wallets are shifting funds into self-custody, DeFi protocols, or OTC venues ahead of broader strategic positioning. The move typically reflects capital reallocation rather than a full exit from the crypto ecosystem. The firm said market participants should pay close attention to what follows such spikes. It pointed to Feb. 9, when net outflows hit 3.72 billion USDT; Bitcoin then saw a modest pullback over the next two weeks before offering what Santiment described as an ideal buying window on Feb. 24. A key signal to watch is whether these funds return to exchanges as near-term buy-side liquidity. If USDT starts flowing back onto exchanges in the coming days, it could indicate a new wave of crypto investment.