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Tether's USDT market cap drops $5.4B in 60 days, sparking stablecoin liquidity concerns

Market News
21 Jul 2026
Crypto Briefing
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Neutral
Tether's USDT market cap drops $5.4B in 60 days, sparking stablecoin liquidity concerns

Tether's USDT stablecoin market cap fell by about $5.4 billion from May to July 2026, dropping from nearly $190 billion to around $184 billion. This decline is part of a broader $10 billion contraction in the stablecoin market, with USDT and USDC leading the pullback. Despite the drop, Tether remains financially strong, posting a $1.04 billion profit in Q1 2026 and holding an $8.23 billion reserve buffer. Investors should monitor stablecoin flows closely, but USDT still dominates the market with a 58% share and remains historically large in circulation.

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