Tether USDT Overtakes XRP in Total Market Capitalization
The largest stablecoin in the history of digital asset Tether surpasses XRP in total market capitalization after trailing the digital asset for three weeks. Tether achieved this feat after its daily transactions reached $1.2 billion in value.
At the time of writing, USDT now has a total market capitalization of $8.84 billion, with XRP trailing it with $8.76 billion, according to Coinmarketcap. It is important to know that USDT coin attained this milestone on the 25th of May after it recorded an all-time high of daily transactions. However, Tether is now valued to be more than $1.2 billion. USDT coin is only second to Ethereum at the moment. However, there are lots of transactions on USDT into crypto-exchanges in recent weeks before the Bitcoin halving began.
Even though it is normal for most crypto-exchanges to have a large amount of USDT tokens, especially before the bitcoin halving, it can also be considered bullish as most crypto-investors prepared to purchase cryptos using USDT.
A crypto enthusiast Brian Quinlivan stated: “Most USDT isn't just being taken off exchanges to be stored in wallets or cashed out through a FIAT-based platform like Coinbase. When people aren't using USDT, they most often put it in Bitcoin. And what's cool is the fact that this USDT percentage often fluctuates a few hours or days in advance of BTC's price reacting to it. So monitoring this metric in advance can end up producing a tremendous advantage by catching a sudden fluctuation early enough.”
Tether Ahead of Other Stablecoins
Tether is also ahead of other stablecoins in the crypto-market by market capitalization, trading volume, and users. This stablecoin is also expanding more than the U.S dollars and has launched stablecoins pegged to the Chinese yuan, the CNHT, the euro, and gold.
Tether has also dwarfed other stablecoins such as USDC, PAX, and TUSD. Additionally, USDT is now regarded as the most popular BTC pair and it has more than 74 percent of the total bitcoin traded into fiat in April. It is important to know that BTC/USDT pair denotes about 90 percent of all Bitcoin-to-stablecoin volume traded in the crypto market today.
Even though Tether has reached a high prominence in the crypto-market, other stablecoins like USDC and PAX aren’t doing bad and they continue to get a small share of the stablecoin market.
Stablecoins will certainly continue to be popular due to their relevance in the crypto space. It is also possible that the continued interest in stablecoins such as USDT can be a bullish sign for bitcoin in the crypto market.