Binance USDT Holdings Surpassed by Bitcoin as Traders Flock to Crypto

Binance's latest proof of reserves snapshot, dated June 1, 2026, shows that the exchange now holds more USDT (34.3 billion) in user balances than BTC (632,580). At current Bitcoin prices between $61,000 and $62,000, the raw dollar value of those BTC holdings is approximately $38.6 billion to $39.2 billion.

The data suggests that users have been converting their stablecoin holdings into BTC, with a 4.26% increase in Bitcoin balances from the prior month. This shift indicates that traders are taking a more active stance on Bitcoin prices, viewing them as attractive entry points rather than warning signs.

However, this rotation also carries risks, particularly if Bitcoin prices retreat significantly from their current range. If traders who converted stablecoins to BTC are sitting on unrealized losses, they may have less dry powder available to average down in case of a price drop.