Tether USDT’s market cap drop linked to ‘seasonal holiday lull’
Tether USDt's market capitalization has declined by 2.8% since reaching $141 billion on December 19, 2024, with daily trading volumes dropping 64% from $154 billion to $55 billion by January 6, 2025. Matrixport attributes this decline to a seasonal trading slowdown rather than a bearish market shift. The platform anticipates a resumption of bullish momentum as stablecoin trading volumes typically indicate increased fiat investment in crypto. Concerns regarding Tether's market drop linked to the EU's Markets in Crypto-Assets Regulation (MiCA) have been dismissed by the community as fear, uncertainty, and doubt (FUD). Despite some reports, local regulators have not mandated Tether's delisting from exchanges, and trading continues on platforms like Binance.
