Stablecoins may help reduce the volatility that affects the Bitcoin market

According to a note issued by Ambcrypto on November 2, the supply of stablecoins has increased from US$5.7 billion to US$22 billion in the past ten months. The supply of stablecoins increased by 120% in the third quarter alone. USDT is the market-leading stablecoin, and its supply is 6 times that of USDC. According to Joel John’s research report, out of the desire to use stable assets, the market’s preference for digital assets has gradually shifted from speculation to practicality. This may be because a large portion of transactions in the market today use USDT instead of Bitcoin. The article stated that as stablecoins become the default currency used by traders to sell, it may help reduce the volatility that affects the Bitcoin market.