Recently, the total amount of stablecoins on the Ethereum network surged to 130 billion dollars, setting a historic high 📈! Since the low point in August 2023, this upward trend has lasted nearly two years and has further solidified ETH's dominant position in the stablecoin field.
Interestingly, this wave of stablecoin inflow not only shows that market funds are active but also suggests that investors may be preparing for the next altcoin rebound 🔥.
💰 Stablecoin Trading Volume Hits Record High
On ETH, USDT, USDC, and the newly launched stablecoin PYUSD are all experiencing continuous growth. For example, PayPal's PYUSD is nearing 1 billion dollars, while the supply on Solana has also reached 250 million dollars.
USDT mainly flows out of exchanges through the TRON network, accelerating capital turnover and making market liquidity more abundant 💦. The monthly transfer volume of USDC on the Aptos blockchain also hit a peak of 8.6 billion dollars, with the number of transfers reaching 23.2 million!
🌐 Why is liquidity so crucial?
The surge in stablecoins is not only part of digital currency reserves but also means that there is more 'dry powder' in the market to invest in high-risk assets, namely those altcoins 💎.
The total value of stablecoins held in the U.S. has reached 347 million dollars, while also laying out reserves in Bitcoin and Ethereum. These stablecoins act like a 'liquidity reservoir,' providing continuous funding for market rotation.
Analysts believe that stablecoins are filling the missing piece of the puzzle in the altcoin season—funds are available, and corresponding trading opportunities may soon follow ⏳.
⚡ Is the Altcoin Season Coming?
From the chart, the dominance of stablecoins (about 4.22%) has shown signs of fatigue. After breaking through the key neckline, a full-blown altcoin rebound is very likely 📊.
Interestingly, there is a negative correlation between the trends of altcoins and stablecoins—when stablecoin inflows accelerate, altcoins often rebound. The decline in BTC dominance also provides an opportunity for the altcoin season. According to platform data, in just two weeks, BTC's share dropped from 62.5% to 59.56%, freeing up space for other tokens.
In other words, when BTC no longer dominates the market, and stablecoins have ample liquidity, altcoins may be ready for the next round of festivities 🎉.
🔮 Summary
The total amount of stablecoins on Ethereum has reached 130 billion dollars, with abundant liquidity.
Multi-chain stablecoins like PYUSD, USDC, and USDT continue to flow into the market.
The altcoin season may be waiting for the support of stablecoin funds, and the decline of BTC dominance is key.
In short, if you're still on the sidelines, increasing stablecoin liquidity + declining BTC share = altcoins may be gearing up! 💥 Friends in the crypto world, get ready to embrace the next opportunity 😉.
Many understand the trends, but few follow the right rhythm.
The crypto world changes quickly, with opportunities and risks coexisting. Learn to enter and exit strategically, protect your principal, and you can move forward steadily while gaining wealth and growth. ✍️
Remember to DYOR, manage risks well, and wish everyone smooth sailing in the crypto world! 🌊
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