Stablecoin Market Sees Largest Monthly Decline in June Since Terra Collapse, but Long-Term Growth Thesis Remains Intact

According to Odaily, the stablecoin market experienced its most significant correction in recent years in June, with the total market capitalization decreasing by $7.7 billion. This marks the largest single-month decline since the Terra-Luna collapse in May 2022. Since peaking in May, the stablecoin market has contracted by approximately $10 billion. Two major stablecoin issuers are the primary drivers of this correction: Tether's USDT market cap has fallen from around $190 billion in May to $184 billion, a decrease of about $6 billion; Circle's USDC has dropped from its high of nearly $80 billion in March 2026 to approximately $73 billion, a decline of roughly $7 billion.

However, compared to the over 26% cumulative decline the stablecoin market experienced during the crypto winter of 2022, the current adjustment is relatively modest. Wall Street institutions remain optimistic about the long-term prospects of stablecoins. Citigroup previously projected that, under a baseline scenario, the global stablecoin market could reach $1.9 trillion by 2030, and under an optimistic scenario, it could climb to $4 trillion. (CoinDesk)