Cryptocurrency News Today – the extended digital currency market may have recently had a turbulent time, but stablecoins have seen a difference. The asset class has been focusing mostly on growth since the beginning of this year. The aggregated stablecoin market capitalization moved past $10 billion as of May. This figure has continued to rise drastically. The dramatic increase in stablecoin market cap can be attributed to the growing demand of the asset class among both Asian and European traders as an on-ramp to the market.

Tether’s Value Has Grown in Recent Months

The value of Tether has grown exponentially in the last few months. It currently accounts for $7 billion of the overall stablecoin market cap at press time. Because Tether has been made available on different networks, USDT/ETH has been the major choice for traders within Asia and Europe. One research from Coin Metrics found that the pair highlighted a high use pattern between 2:00 to 16:00 UTC, in correspondence with the opening hours of both the Asian and European markets.

There were also only very few transfers that took place after 20:00. This is reportedly the exact time the New York Stock Exchange closes. Furthermore, the total number of transfers on the network increased significantly towards the end of last month. The chart also shows that the USDT/ETH pair was mostly transferred in the Asian and European markets, with an increase in activity noted as the Asian market closed.

Stablecoins are Being Used for Non-institutional Purposes

On the contrary, some other stablecoins including Paxos and cryptos that posted a dramatic increase in their value since the March 12 incident, were utilized in a more dispersed way. This hinted at the possibility that stablecoins are being used for non-institutional purposes including global remittances. Transfers for stablecoins almost tripled since March. The figure reached an all-time high of 24.4k on May 5 which surpasses that of the USDC and DAI.

USDC and DAI have also become widely unpopular since the March 12 event. Despite their unpopularity, USDC also noted immense activity in the last month where it had close to 20% of its daily transfers taking place in just a single hour. This was also corresponding to the Asian market’s trading hours.

Further, DAI’s transfer count declined by a mile after the above-mentioned event. It has since been spread out in the U.S working hours from 14:00 to 22:00. These findings prove that there is evidence of deep interest from Asian and European traders for USDT/ETH and USDC. While DAI posted only small action. Paxos continued to be used for non-institutional purposes.