Post #15084

A relatively new phenomena the last cycle was the outsized role that stablecoins have played in market structure, becoming the preferred quote currency for traders, and a primary source of market liquidity. Aggregate stablecoin supplies had been in decline since March 2022, falling by -26% from the peak, being a major headwind for market liquidity. This is due to a combination of regulatory pressures (SEC charged BUSD for being a security), capital rotation (preferring US treasuries vs non-interest bearing Stablecoins), and waning investor interest in the bear market. By Crypto Australia