🔥 Massive Milestone: USDT Market Cap Breaks $120 Billion Barrier
posted 21 Oct 2024
Tether’s USDT has reached a new record-high market cap of $120 billion. This increase reflects the growing demand for cryptocurrencies, with stablecoins like USDT playing a key role in providing liquidity quickly and efficiently.
USDT continues to dominate the stablecoin market, holding the top spot in its category and ranking third among all cryptocurrencies. Its closest competitor, USDC, has a market cap of $34.9 billion, which is four times smaller than Tether’s.
Top 5 Stablecoins by Market Capitalization. Source: dropstab.com
According to Tether’s official sources, the market cap of USDT hit $120 billion on Sunday, October 20, 2024.
Stablecoins like USDT act as a bridge between fiat currencies and cryptocurrencies, facilitating smooth conversions and transactions in the digital world.
The rise in their market capitalization points to an increase in buyer activity, which could potentially signal an upcoming bull market.
For example, on August 5, 2024, Tether issued $1.3 billion worth of USDT while Bitcoin traded at $49,500. Over the next four days, Bitcoin’s price surged by 21%, surpassing the $60,000 mark.
Is USDT's Record Market Cap Fueling Uptober?
The surge in USDT’s market cap may serve as one of the catalysts for the traditional October rally, also known as "Uptober." Historically, the final quarter of the year has shown strong bullish trends in BTC prices.
In addition to USDT’s market cap growth, there has been a notable movement of USDT from Tether’s treasury to centralized exchange (CEX) wallets. For instance, since October 18, $82 million has been transferred to Binance, and $20 million to Kraken.
USDT Transfers to CEX. Source: arkhamintelligence.com
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