🔥War, tariffs, ETF outflows... The crypto market's stablecoin market cap is not decreasing but increasing?

In the past month, macro factors have basically left no room for the crypto market to breathe.

The US and Israel took action against Iran, crude oil prices soared, and global risk aversion sentiment hit its peak. US stocks came under pressure, and the crypto market followed suit. BTC repeatedly tested support between 60,000 and 72,000, with the Fear & Greed Index remaining in "Extreme Fear" mode.

But there is a set of on-chain data worth noting: even when BTC declines, the total market cap of stablecoins continues to rise. Money hasn't left; it has just moved from BTC and altcoins into stablecoin accounts.

This is a very interesting trend: more and more people are starting to treat "stablecoin yield farming" as a basic strategy during bear markets. Currently, stablecoin savings on CeFi platforms generally offer annual yields between 4% and 7%. For example, with $50,000, at a 6% annual rate, you’d earn about $250 per month, $750 per quarter. Not exciting, but reliable.

Biteye has compiled a multi-dimensional comparison of the four major mainstream stablecoins.

💡Biteye Perspective
Geopolitical conflicts are still fermenting, and macro uncertainty will not disappear in the short term. But Arthur Hayes has a repeatedly validated view: after each geopolitical conflict, liquidity tends to loosen. If this pattern holds again this time, what we should do now is not panic sell, but use the certainty of yields to build up ammunition, waiting for the next cycle to trigger.

It is recommended that everyone consider USD1 and U as part of their stablecoin portfolio, for example, holding USDT, USDC, USD1, and U in a diversified manner—using USDT/USDC for stability, and USD1/U for higher yields.

Biteye will continue to keep an eye on good opportunities for gains during the bear market!