Bitcoin has remained the most popular currency since the extraction of the genesis block. The pioneering cryptocurrency has been sharing the spotlight with two other cryptocurrencies recently, at least in terms of trading volumes.
Bitcoin, the stablecoin Tether (USDT) and Ethereum, accounted for 90% of the total trading volume on crypto exchanges this year. The other cryptocurrencies in the top 10 enjoyed only a small portion of the usage that BTC, ETH, and USDT got every day.
Statistics collected by Messari indicate that this marks an increase of 75% over the same period last year.
Trading volume is a leading indicator of real-world usage. High volume shows that the market is liquid, which means that cryptocurrencies can be traded without having a considerable impact on the market price and with as little friction as possible.
Tether (USDT) took first place in trading volume
Despite criticism of manipulation and opacity against Tether, the stablecoin has continued to rule the henhouse in terms of trading volumes, even outperforming BTC, which holds 67.4% of the total cryptocurrency market share. .
Amid the global market turmoil caused by the COVID-19 pandemic, the controversial USDT has become the biggest winner. After the Black Thursday market crash, most investors turned to Tether to hedge against volatility as its value is said to be equivalent to $ 1 most of the time.
Since the market hit the bottom in mid-March, the total amount of USDT has more than doubled from $ 4.3 billion to $ 8.7 billion, registering a 102% increase.
Furthermore, Tether's market capitalization has been constantly increasing thanks to constant printing. Stablecoin now threatens to usurp Ripple's XRP token as the world's third largest cryptocurrency, Since it has a market capitalization of $ 8.7 billion, just $ 80 million less than XRP's market capitalization.
Ethereum ranked third
Ethereum is the third largest cryptocurrency with regards to daily trading volumes. In particular, there has been an amplified buzz around the long delayed release of Phase 0 of ETH 2.0. Most recently during Consensus: Distributed Virtual Conference, Vitalik Buterin apparently confirmed that the project will launch in July.
However, in a tweetButerin claimed to have misheard the question asked, noting that ETH 2.0 will not be released in July.
However, despite persistent delays with ETH 2.0, ethereum remains the third most traded cryptocurrency.