Analysts: Total stablecoin market cap falls to lowest level in over a year, shrinking by approximately $17 billion over six months

on November 3, on-chain analyst Darkfost stated on the X platform that the total market capitalization of stablecoins has dropped to its lowest level in over a year, falling from approximately $280 billion in April this year to the current $263 billion, a decrease of about $17 billion over the past six months, representing a decline of roughly 6%.

Darkfost noted that Binance still accounts for approximately 70% of stablecoin supply across centralized exchanges, but the 90-day moving average of the market capitalization for the platform's stablecoins has shown a significant decline. Following the attack on Binance, this figure dropped from approximately $51 billion to $34 billion, with around $3 billion in stablecoins transferred out during the period.

He believes that the continued decline in stablecoin market capitalization primarily reflects insufficient demand and new liquidity in the crypto market. Coupled with recent geopolitical developments, economic events, and multiple security incidents, investors may be reducing their risk exposure.