Stablecoin Market Rebounds by $4 Billion, But Recovery Remains Weak

The stablecoin market capitalization has seen a rebound of about $4 billion since September, reaching around $270 billion. However, this increase is modest compared to the decline from its peak in May, where it fell by approximately $14 billion. As a result, the recent growth accounts for only about 29% of that decline.

CryptoQuant contributor Darkfost wrote on October 3 that despite the recovery, the trend remains weak and liquidity inflows are still insufficient to drive Bitcoin to a new record high. He emphasized that more liquidity is needed in the market for this to happen.