According to the latest analysis data from blockchain analysis company Glassnode, the total market value of the top four stablecoins (USDT, USDC, BUSD and DAI) has surpassed the market value of Ethereum by $3 billion.
Throughout 2020-22, the combined market capitalization of the top 4 stablecoins has repeatedly reached 50% of Ethereum’s market capitalization, yet a sharp breakout occurred in May and June of this year, the first of its kind.
Since the beginning of May, stablecoin redemptions out of the market totaled $9.92 billion. USDT had the largest redemption volume at $13 billion, followed by DAI at $2 billion, as investors opted to end their leverage (or be liquidated) through the MakerDAO vault.
In addition, the supply of USDC has increased by $5 billion since May 1, suggesting that the market’s preference for stablecoins may shift from USDT to USDC.