• USDT Dominance breaks 52%, the highest dominance since May 2022, just before the Terra Luna collapse.
• Significant outflows of BUSD has seen USDT increase market share.
• Binance processed $1 billion in withdrawals amid regulatory scrutiny on BUSD has benefited USDT in the process.
USDT dominance breaks 52%, highest since May 2022
The relative dominance of the four major stablecoins (USDT, USDC, BUSD and DAI) saw a significant increase for USDT, which broke 52% – its highest level since May 2022. This is due to significant outflows from BUSD which resulted in higher market share for USDT. Additionally, Binance’s processing of $1 billion in withdrawals amid regulatory scrutiny on BUSD also helped benefit USDT.
Calculation of Dominance
The dominance of each stablecoin is calculated by taking that coin’s supply and dividing it by the sum of all four coins‘ supply: Dominance = Supply / sum(USDT, USDC, BUSD, DAI).
BUSD Outflow Benefits USDT
BUSD’s current dominance is at 12%, down from 17% back in November 2022 due to significant outflows. The benefit accrued to USDT as its dominance increased as a result.
USDC Heading Towards 30% Dominance
USDC is showing an increase in market share and is heading towards 30% dominance.
On-chain data suggests bear market may be coming to an end
CryptoSlate’s latest market report dives deep into Bitcoin on-chain data suggesting that the bear market might be coming to an end.