- Stablecoins circulating supply surged over $16B since the beginning of 2025.
- A surge in stablecoins supply signals bull run anticipation by crypto investors.
- Investors are waiting for a clear direction in the crypto market.
Blockchain data analysis platform Glassnode has reported a surge in the circulating volume of stablecoins since the beginning of 2025. The platform’s latest report reveals the stablecoins supply increased by $16.79 billion during this period, bringing the total stablecoins circulating supply to $211.2 billion.
Interestingly, the rise in stablecoin supply mirrors Bitcoin’s rally, as the cryptocurrency reached a new milestone this year. On January 20, Bitcoin climbed to an all-time high of $109,356, marking the day Donald Trump assumed office for a second term.
Related: Stablecoin Minting Hits Bullish Highs: A $127B Signal for Crypto Investors?Â
Investor Behavior and Stablecoin Adoption
In the context of crypto investors’ tradition, increased stablecoin adoption signals a potential surge in crypto demand. The logic behind this expectation is that investors keep their funds in stablecoins during market uncertainty, staying within the cryptocurrency ecosystem while sidestepping sharp price swings. Thus, funds stored as stablecoins are not subject to fluctuations but will aid fast decision-making whenever a market rally begins.
It is worth noting that the cryptocurrency market is trending sideways, as BTC remains confined to a narrow range. The low market volatility suggests that most investors chose to stay on the sideline to observe external developments that could influence the crypto market’s next move.
Market Outlook and Policy Impacts
For instance, Trump’s pro-crypto stance suggests an imminent crypto market rally may be in the works. However, some of his initial policies triggered counterproductive reactions that put Bitcoin and the rest of the crypto market in the mixed zone. Hence, investors’ propensity to stay away and wait until the direction is clear.
Related: Stablecoin Supply Hits $134.3B Yearly High: Is This the Bullish Signal?
Nonetheless, expectations remain high, considering the many projections that suggest an imminent growth for the crypto market. The surge in stablecoins circulating volume could also signal an influx of new investors preparing for an anticipated bull run per the prevailing market sentiment.
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Source: https://coinedition.com/investors-lie-in-wait-as-stablecoins-circulating-supply-surge-over-16b-in-2025/