Stablecoin demand is back and stronger than ever! | Crypto

Stablecoin demand is back and stronger than ever!

– Stablecoin demand is declining, resulting in the crypto equivalent of quantitative tightening.

– The combined market capital of USDT and USDC has fallen ~10% from its peak in April.

– During the bitcoin (BTC-USD) bear market this year, “the ups and downs of USD Coin (USDC-USD) market capitalization growth appear to lead the ups and downs in bitcoin’s price by two months.”

– So what should investors watch? She points out that the cryptocurrency market remains sensitive to expectations for central bank tightening, especially on the U.S. Federal Reserve.

– In general, bitcoin (BTC-USD) trades as a speculative risky asset, with a high correlation with the equity market.

image 1402102628 Stablecoin demand is back and stronger than ever!

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