Share this article
Tether/Circle Stablecoin Supply Growth Signals Strong Liquidity Backing Crypto Rally
The market capitalization of the two largest stablecoins — USDT and USDC — reached new records this week, a sign that capital is flowing into digital asset markets.
Updated Jul 11, 2025, 5:16 p.m. Published Jul 11, 2025, 3:34 p.m.
What to know:
- Bitcoin has reached new all-time highs, with stablecoins like Tether's USDT and Circle's USDC also seeing record supply increases.
- USDC's market cap has grown by $1.3 billion since July, while USDT added $1.4 billion, indicating a significant influx of capital into the crypto market.
- Analysts view the growth of stablecoins as a sign of fresh capital entering the crypto economy, often correlating with bitcoin rallies.
As bitcoin pushed past all-time highs and other cryptocurrencies surged, the rise in stablecoin supply is offering a signal that this rally may have deeper roots.
Tether’s USDT and Circle’s USDC, the two largest dollar-pegged stablecoins, each reached new record supplies this week, according to TradingView data. Since the start of July, USDC’s market cap has grown by $1.3 billion, reaching $62.8 billion, while USDT added $1.4 billion to hit nearly $160 billion.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
Looking further back to April, when the market hit a short-term low, the growth is even more pronounced. USDT expanded by $15.2 billion—roughly 10.5%—and USDC added $2.7 billion, or 4.6%.
Stablecoins are cryptocurrencies with prices tied to an external asset, predominantly to the U.S. dollar. While they have been increasingly popular for payments, the asset class serves as a key source of liquidity and trading pairs on crypto exchanges.
Hence, analysts often treat their growth as a proxy for fresh capital entering the broader crypto economy.
Previously, periods of accelerating stablecoin growth coincided with sharp rallies in bitcoin, Caleb Franzen, founder of Cubic Analytics, pointed out in a chart shared on X.
Loading...
More For You
What to know:
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
More For You
Japan’s Higher Rates Puts Bitcoin in the Crosshairs of a Yen Carry Unwind
A stronger yen typically coincides with de-risking across macro portfolios, and that dynamic could tighten liquidity conditions that recently helped bitcoin rebound from November’s lows.
What to know:
- The Bank of Japan is expected to raise interest rates to 0.75% at its December meeting, the highest since 1995, affecting global markets including cryptocurrencies.
- A stronger yen could lead to de-risking in macro portfolios, impacting liquidity conditions that have supported bitcoin's recent recovery.
- Governor Kazuo Ueda indicated a high probability of a rate hike, with officials prepared for further tightening if their economic outlook supports it.
Top Stories
