Stablecoin Market Cap Hits New All-Time High Amid 11 Months of Growth

According to Cointelegraph: The stablecoin market cap, excluding algorithmic stablecoins, has reached a new all-time high of $168 billion, marking 11 consecutive months of growth. This surpasses the previous peak of $167 billion set in March 2022. Despite a decline later that year, the market has rebounded, reflecting renewed investor interest.A Crypto analyst says the uptick in market cap could be a result of new money entering the market. Source: DefiLlamaCrypto analyst Patrick Scott, known as "Dynamo DeFi," noted the significance of this milestone, suggesting that "new money is entering crypto." He highlighted the steady growth of Tether (USDT), which reached over $117 billion in market capitalization for the first time in August 2024. Similarly, Circle's USD Coin (USDC) saw gains, reaching over $34 billion in market cap, though still below its all-time high of $55.8 billion in June 2022.Source: Patrick ScottHowever, despite these gains, stablecoin trading volumes have seen a decline, with a reported 8.35% drop to $795 billion in July, largely due to reduced activity on centralized exchanges. This trend has continued into August, with trading volumes currently sitting just above $46 billion, according to CoinMarketCap.