Stablecoin market sees largest monthly decline since Terra collapse in June, but long-term growth logic remains intact

Odaily news Stablecoin market experienced its largest correction in recent years in June, with total market cap decreasing by $7.7 billion, marking the biggest single-month drop since the Terra-Luna collapse in May 2022. Since its peak in May, the stablecoin market has contracted by approximately $10 billion. Two major stablecoin issuers drove this correction: Tether's USDT market cap fell from around $190 billion in May to $184 billion, a decrease of about $6 billion; Circle's USDC dropped from a high of nearly $80 billion in March 2026 to approximately $73 billion, a decline of about $7 billion.

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