The stablecoin market has seen modest growth since October and is currently valued at $172.7 billion, with Ethereum and Tron accounting for the majority of stablecoins. However, transfer volumes have been declining since May. While the stablecoin market has expanded, transfer volumes have decreased, possibly due to a shift in sentiment, reduced speculative trading, and increased regulatory pressure. The decline in transfer volume suggests that traders are limiting fund transfers during calmer or uncertain market periods. The growing trend of holding yield-bearing stablecoins as investment assets rather than for everyday transactions is also noticeable. However, if market volatility increases or investor confidence strengthens, stablecoin transfers could climb again. Despite the decline, stablecoin transfer volumes still outpace non-stablecoin crypto transactions.



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