This summary text is fully AI-generated and may therefore contain errors or be incomplete.
The dominance of Tether (USDT) in the cryptocurrency market remains strong, as traders and investors continue to favor it over its competitors. This is largely due to its status as the largest digital asset tied to the US dollar, with its market cap reaching a new all-time high of $87.48 billion. Despite facing scrutiny regarding its reserves, USDT holds the position of being the third-largest digital asset globally, following closely behind Bitcoin and Ether.On the other hand, USDC, a stablecoin issued by Circle, has struggled to gain momentum in 2023. Its market cap has experienced a significant decline, dropping by $21 billion over the past year. Since reaching its peak at $55 billion in June 2022, USDC’s market capitalization has steadily decreased, currently standing at $24 billion.Tether’s growth has been driven by increasing demand in emerging and developing markets, with USDT accounting for 80% of all cryptocurrency transactions in Brazil. Additionally, the anticipation of a potential Bitcoin ETF has fueled institutional investors’ enthusiasm for BTC, contributing to the expansion of Tether.There has been a notable increase in USDT transactions exceeding $100,000, reaching over 40,000 on a weekly basis. This surge in activity reflects a trend toward a resurgence in the crypto market, reminiscent of the heightened trading volume observed during Bitcoin’s rise amid the global banking crisis.Overall, Tether’s dominance and growth in the market, coupled with USDC’s struggles, highlight the ongoing battle for stablecoin supremacy.