Why Circle's ‘Super Positive’ IPO Could be Bullish for Ethereum: Analysts
Circle's $1.1 billion IPO indicates increasing Wall Street interest in stablecoins and may enhance institutional confidence in Ethereum. Over half of USDC's $36.7 billion circulating supply exists on Ethereum, driven by its dominance in decentralized finance (DeFi). Analysts suggest that as USDC usage expands, it will boost liquidity for DeFi and attract developers to Ethereum. Circle's shares surged 165% to $83.22 post-IPO and continued rising to $114.50 the following day. USDC has also been issued on Solana ($8 billion) and other Layer-1 networks, but Ethereum remains the primary platform. Circle's IPO could spark interest in its business model and the infrastructure behind stablecoins, potentially increasing attention on Ethereum and smart contract platforms. Spot Ethereum ETFs have seen net inflows, though recent inflows were lower than previous peaks.
