Loading...

Stablecoins market experiences a significant resurgence

TL;DR

  • The stablecoin market has experienced a significant resurgence seeing a massive rise in its market value.
  • Exploring key trends and major players in the market.

The stablecoin market has experienced a notable resurgence in recent weeks, witnessing a substantial increase in the combined market value of leading stablecoins from $123.66 billion to the current $129.14 billion. This noteworthy growth of almost $6 billion comes on the heels of the stablecoin industry shedding tens of billions over the past year, with tokens such as BUSD, USDP, and USDC recording considerable redemptions during this period.

Stablecoins market experiences a $6 billion increase

Recent data covering the period from November 2 to November 24, 2023, reveals a 22-day expansion of the stablecoin market by $5.48 billion. In the past 24 hours alone, fiat-pegged stablecoins achieved an impressive trading volume of $50.74 billion, contrasting with the global total trading volume of $88.65 billion. Stablecoin swaps now constitute a substantial 57.23% of the overall global trading volume. Tether (USDT) takes the lead with a market value of $88.59 billion, making up 68.59% of the total $129.14 billion market capitalization and contributing 5.93% to the entire $1.4 trillion crypto economy.

Over the past 22 days, USDT’s market cap has increased by 4.24%. USD coin (USDC) has also experienced modest growth since November 2, with its market cap rising by 0.81% from $24.5 billion to the current $24.7 billion. The decentralized stablecoin DAI has seen a substantial increase in market value, rising by 43.2%. However, TrueUSD’s (TUSD) supply has decreased by 5.38% since November 2. BUSD, on the other hand, has faced a decline throughout the year following Paxos’s decision to stop minting BUSD.

Exploring key trends and major players in the market

Twenty-two days ago, BUSD’s market cap stood at $1.95 billion, which has now fallen to $1.74 billion, marking a 10.76% drop. In contrast, the newcomer First Digital USD (FDUSD) has experienced growth, with its market value increasing from $590 million to $733 million, representing a 24.23% rise. Tron’s USDD witnessed a slight decrease from $725 million, down by 0.82% to the current $719 million. Frax Dollar (FRAX) also saw a minor decrease of 0.44%, moving from $671 million to $668 million in the same period.

Paxos, which supports the issuance of Paypal’s PYUSD, observed a 1.10% reduction in the supply of Pax Dollar (USDP) from $453 million to $448 million. The tenth-largest stablecoin by market value, Liquity USD (LUSD), experienced a drop in its supply from $220 million to $205 million. The market capitalizations of Alchemix USD (ALUSD) and Paypal USD (PYUSD) remained relatively stable. The stablecoin market has undergone a notable resurgence in recent weeks, with Tether leading the way in market value.

While some stablecoins like USDC and DAI have experienced modest growth, others such as BUSD have faced declines. The dynamics within the stablecoin ecosystem continue to evolve, influenced by factors like supply adjustments, market demand, and new entrants like FDUSD. As the broader crypto economy continues to fluctuate, the stability and utility of these fiat-pegged tokens remain a focal point for investors and observers alike.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Share link:

Owotunse Adebayo

Adebayo loves to keep tab of exciting projects in the blockchain space. He is a seasoned writer who has written tons of articles about cryptocurrencies and blockchain.

Most read

Loading Most Read articles...

Stay on top of crypto news, get daily updates in your inbox

Related News

Bitcoin
Cryptopolitan
Subscribe to CryptoPolitan