Stablecoin Market Cap Rebounds, but Recovery Remains Limited

The stablecoin market capitalization has rebounded by about $4 billion since September, recovering to around $270 billion.

However, this recent increase is modest compared to the liquidity that previously exited the market.

Stablecoin market capitalization has fallen by about $14 billion from its peak in May, meaning the latest increase accounts for only about 29% of that decline.

Darkfost, a CryptoQuant contributor, notes that the recovery in stablecoin market capitalization remains weak.

According to Darkfost, more liquidity needs to flow into the market for Bitcoin to move to a new high.