Market: Bitcoin Slides Below $30k, Stablecoins Exceed $100B Total Supply
Bitcoin dropped below the $30,000 level, while stablecoins showed strength as their total supply surpass over $100 billion in total.
Stablecoin Total Supply Exceeds $100 Billion
Arcane Research reported that the total stablecoin supply has now surpassed the $100 billion mark, while Tether’s dominance is declining.
Here is a chart that shows the trend in the total supply and dominance of some popular coins:
The total supply of these coins used to be only $11 billion in July of 2020, and now it seems to have risen $96 billion in the past 1 year, reaching about $107 billion today.
Tether (USDT) dominated the stablecoins market back then, and accounted for 83% of the total market. But today it has declined to just 58% of the supply.
The second-placed stablecoin, USDC, has seen sharp growth, and it now accounts for 25% of the market. Tether still remain the most dominant crypto in this sector.
Circle, the company behind USDC is currently in the process of going public with the help of a SPAC. In an investor presentation, the company revealed that they project USDC to rise to $83 billion by the end of 2022, and $194 billion by the end of 2023.
Binance USD (BUSD) places third after having overtaken DAI a few months back. BUSD has also seen some great growth over the past year.
As Bitcoin continues its downtrend and dips below the $30,000 level, 2 stablecoins have made their way into the top performers for the past week.
These two coins are Fei Protocol (up 0.82% in the last 7 days) and TerraUSD (up 0.08% in the past week). Here is a chart that shows how the the popular cryptocurrencies by market cap have performed in the same period:
Bitcoin and Ethereum seem to be deep in the red, the chart shows.
Bitcoin
At the time of writing, BTC is trading for $29.876, down 8% in the past 7 days. Over the last month, Bitcoin has dropped 14% in value.
Below is a chart showing the trend in Bitcoin’s price over the past 6 months:
BTC continues its downtrend | Source: BTCUSD on TradingView
Bitcoin has finally dropped out of the $30k to $35k range where it has been stuck in for the past few weeks. It could mean more price action could be coming following a very stale market with minimal volatility.
