According to recent data from the crypto analytics platform CCData, stablecoins are experiencing a consistent rise in market capitalization. The report highlights a 2.11% increase in stablecoin market cap for the past month, marking the 10th consecutive monthly growth in the sector. This marks the most significant monthly rise since April and indicates new capital inflows, as evidenced by the positive price action of digital assets in July.
The stablecoin market cap has reached its highest point since April 2022. Notably, this growth occurred despite a 1.43% decline in the market cap of European stablecoins, which has decreased for the seventh consecutive month.
In the realm of stablecoins pegged to the US dollar, USDC’s market cap rose by 5.36% to $33.6 billion, making it the second-largest stablecoin by market cap. The leading stablecoin, Tether (USDT), also saw growth, albeit more modestly, with a 1.61% increase, bringing its market cap to $114 billion.
However, despite the rising market caps, stablecoin trading volumes have been declining, dropping 8.35% to $795 billion as of July 25th, marking the fourth consecutive month of declining volume. CCData suggests that trading volumes are trending upward again, potentially influenced by the recent launch of spot Ethereum (ETH) exchange-traded funds and last week’s Bitcoin Conference.
