In the past 15 days, the stablecoin economy has observed a modest yet consistent growth, adding $1.08 billion to its market cap. During this timeframe, Tether emerged as a significant driver, with its market value increasing by $790 million. Other stablecoins also experienced varying levels of growth and decline.
What Influences Stablecoin Market Growth?
From August 23 to September 7, 2024, the stablecoin market climbed from $169.72 billion to $170.80 billion. This $1.08 billion increment highlights the enduring significance of stablecoins, constituting $80.16 billion out of the $114.2 billion trading volume over the last 24 hours.
How Did Individual Stablecoins Perform?
Tether (USDT) notably increased its supply from $117.39 billion to $118.18 billion, making a substantial contribution to market growth. Circle’s USDC saw a modest rise of $50 million, while other stablecoins like DAI faced a $60 million decrease in supply. Ethena’s USDE and FDUSD also experienced declines, with FDUSD dropping by $90 million to $2.56 billion.
Market Trends and Insights
– Tether’s market value rose by $790 million.
– Total stablecoin market added $1.08 billion in 15 days.
– Circle’s USDC increased by $50 million.
– DAI and Ethena’s USDE supply declined by $60 million and $330 million respectively.
– FDUSD saw a $90 million decrease in its market supply.
The overall market has exhibited slower growth, increasing by $1.08 billion compared to $1.3 billion in the five days leading up to August 23. This could indicate a cooling off period for stablecoins. However, stablecoins still maintain a robust presence in trading volumes, underscoring their importance in the financial ecosystem.
The slower yet steady growth of the stablecoin market suggests a potential lull. Nonetheless, the substantial impact of stablecoins, particularly Tether, continues to steer market dynamics, affirming their crucial role in the financial landscape.