• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

Tether USDT Market Cap Analysis: Causes and Implications

user avatar

by Giorgi Kostiuk

3 months ago


During the holiday season, Tether USDT's market cap saw a significant decline, sparking discussions among market participants about potential implications.

Holiday Decline and MiCA Law

Tether USDT's market cap dropped over 2.8% amid reduced trader activity during the Christmas holidays. According to Coingecko, market cap declined from December’s peak of $141 billion to $137.2 billion. Daily trading volumes also fell 64% from mid-December’s $155 billion to $55 billion by January 6. This is partly attributed to the delisting of USDT from multiple European exchanges due to MiCA compliance issues.

Community and Experts’ Reaction

Experts like Karen Tang and analyst Axel Bitblaze dismissed fears of MiCA’s impact on USDT, emphasizing its dominance in the US and Asian markets, where 80% of USDT trading occurs. Bitblaze highlighted that misinformation about USDT’s illegality in the EU is exaggerated, and EU clients can use USDT in non-custodial wallets and DEXs, although MiCA-compliant exchange use is restricted.

Tether’s Forecasts and Measures

The community criticized the FUD around MiCA and Tether. Analysts predict stablecoin bullish momentum may soon resume. Tether is investing in EU-based companies to maintain its market position. CEO Paulo Ardoino assured customers of continued USDT support, reminding them about the use of non-custodial wallets.

Despite temporary challenges and European delisting, Tether continues to seek ways to strengthen its global market presence. The impact of MiCA and the holiday lull on USDT's market cap requires close attention and may have long-term effects.

0

Share

Other news

Kava: Bridging Ethereum and Cosmos Ecosystems

Kava merges Ethereum and Cosmos features, providing developers access to a hybrid Web3 architecture.

user avatarGiorgi Kostiuk

a few seconds ago

Verasity in 2025: Ecosystem, Technology, and Development Plans

Overview of Verasity's ecosystem, including VeraWallet and VeraViews, and the company's strategic directions for 2025.

user avatarGiorgi Kostiuk

a minute ago

KiloEx: Setting the Standard in Decentralized Futures Trading

KiloEx completes a stunning TGE, raising 1213.94 BNB in seconds and highlighting its role as a leading platform in decentralized futures trading.

user avatarGiorgi Kostiuk

a minute ago

Pi Network's .pi Domain Auction: Expanding the Ecosystem and Digital Identity

.pi domain auction attracts over 200,000 bids, solidifying Pi's role in digital commerce and identity.

user avatarGiorgi Kostiuk

2 minutes ago

Kaspa Completes Feature Freeze Ahead of Major Hardfork in March

Kaspa completes feature freeze for its hardfork, preparing for launch in March 2025.

user avatarGiorgi Kostiuk

2 minutes ago

Fourmeme Introduces Updates for Improved Security and Functionality

Fourmeme enhances security and functionality for memecoin creators and traders on BNB Chain.

user avatarGiorgi Kostiuk

3 minutes ago

dapp expert logo
© 2020-2025. DappExpert. All rights reserved.
© 2020-2025. DappExpert. All rights reserved.

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.