Tether issued $1 billion in new USDT tokens on the Tron blockchain as stablecoins’ total market cap grew.
Payments giant Tether minted its latest Tron USDT inventory on July 24, as noted by Arkham. The firm paid nothing in transaction fees, and such a move is typically regarded as bullish. The new USDT on Tron came as the total number of stablecoins in circulation has trended upwards since June 29, as a Nansen team member told crypto.news over email.
However, experts from the blockchain analytics firm said it’s difficult to assert whether this pattern indicates upcoming price increases.
“Given there were many other factors at play in October 2023, and now, it’s hard to justify it being the next leg up on its own.” the Nansen analyst explained.
According to Nansen, other factors to consider include both on-chain decentralized exchange volumes, address stats, and off-chain data like exchange-traded fund flows, macro outlooks, and monetary policies.
Current trends suggest the crypto market still has some way to go before technical observers are convinced higher prices are definitely inbound, even if the stablecoin market cap surpassed $160 million after months of stagnation.
The specific stablecoins boosting circulation also revealed how user demand is advancing. Nansen data noted that Circle’s USDC, Tether’s USDT, Maker’s DAI, Paxos’ PYUSD, and USDD.
It looks like it’s not only a big day for ETH…but also for stablecoins!
The total stablecoin market cap has finally started to break $160b after 3 months of remaining relatively flat, highlighting increasing demand and growing confidence in these assets
Bullish. pic.twitter.com/Zv8qe6RTJ7
— Nansen 🧭 (@nansen_ai) July 23, 2024