USDT Supply Contracts $870M as Stablecoin Trend Weakens

The supply of USDT has seen a significant contraction in recent days, according to data from CryptoQuant. Over the past 11 days, about $870 million worth of USDT has been withdrawn from circulation.

This trend is part of a broader weakening in the stablecoin's supply trend over the past two months. On a rolling 60-day basis, the change has dropped by approximately $4 billion.

Crypto analyst Stacy Muur attributed this contraction to investors cashing out of crypto and converting their stablecoin holdings into fiat rather than redeploying them within digital-asset markets. Shifts in stablecoin yields may also be a contributing factor.