Stablecoin Market Contracts by $10 Billion Amid Weakening Crypto Sentiment

The stablecoin market has seen its largest monthly contraction since the collapse of TerraUSD in 2022, with total market capitalization falling by roughly $10 billion from its May peak.

This decline represents a modest 3% drop for the sector, indicating that most of its recent growth remains intact.

The biggest contributors to this decline were Tether's USDT and USDC, which accounted for much of the reduction in circulating supply.

USDT's supply dropped from around $190 billion to $184 billion, while USDC declined to approximately $73 billion during the same period.