Today (December 2), Ki Young Ju, the CEO of cryptocurrency analysis company CryptoQuant, tweeted that the Altcoin season is no longer defined by asset rotation from #Bitcoin. He mentioned:
"The surge in Altcoin trading volume isn't driven by $BTC pairs but by stablecoin and fiat pairs, reflecting real market growth rather than asset rotation. Stablecoin liquidity better explains the Altcoin markets."
Alt season is no longer defined by asset rotation from #Bitcoin.
The surge in Altcoin trading volume isn't driven by $BTC pairs but by stablecoin and fiat pairs, reflecting real market growth rather than asset rotation.
Stablecoin liquidity better explains the Altcoin markets. pic.twitter.com/riejM7oXyk
— Ki Young Ju (@ki_young_ju) December 2, 2024
Issuance of Stablecoins
The role of stablecoins in the market is becoming increasingly important, especially the large-scale issuance and circulation of USDT, which indicates a strong demand for liquidity in the market. According to recent data shown, the total market capitalization of stablecoins (green line) has steadily grown since 2020 and reached a peak of $180 billion in 2024, a significant increase from $120 billion a year earlier. Particularly since the election of Trump, the growth rate of stablecoins has accelerated noticeably from November 7 this year.
Hot Topics in the Community
There has been a heated discussion on this phenomenon. Some users believe that the market dominance of #Bitcoin is declining, which is closely related to the growth of Altcoin trading volume; other users predict that when $BTC trading pairs become active again, the Altcoin trading volume may double.
In addition, some views suggest that more and more new investors choose to hold stablecoins directly or enter the Altcoin market, rather than prioritizing the purchase of #Bitcoin. They usually wait for the $BTC price to rebound before transferring their funds to the #Bitcoin market.
Which Altcoins Have Surged
In the past month, well-known Altcoins such as XRP, SOL, DOGE, and PEPE have performed strongly, with significant increases in trading prices.
Ranked by price increase this month:
- XRP: From $0.511 to $2.45, an increase of approximately 379.84%.
- ADA: From $0.356 to $1.15, an increase of approximately 223.60%.
- DOGE: From $0.16 to $0.437, an increase of approximately 173.13%.
- The Sandbox: From $0.245 to $0.643, an increase of approximately 162.45%.
- PEPE: From $0.00000893 to $0.00002088, an increase of approximately 133.79%.
- SOL: From $166 to $228, an increase of approximately 37.37%.
Further Reading: Wow! XRP's Market Value Surpasses USDT and SOL to Become the Third-Largest Token, Soaring 380% in a Single Month
