Stablecoin market boom fuels crypto rally

     

Stablecoin Market Boom Signals Growing Onchain Liquidity

The stablecoin market boom to a record $300 billion is seen as “rocket fuel” for the crypto market, according to industry experts. Analysts say the surge shows investor capital moving onchain, signaling stronger integration between digital assets and global finance.

The total stablecoin supply hit over $300 billion on Friday, marking a 46.8% increase since the start of 2025. This growth outpaces the previous year’s expansion, according to Cointelegraph. The milestone also arrives as October begins, a month known historically for strong Bitcoin performance and potential “Uptober” rallies.

Andrei Grachev, founding partner at Falcon Finance, said the stablecoin supply crossing $300 billion reflects active market use, not idle capital. “Transfer volumes are in the trillions each month. They are being used – not just held. This is capital at work, not capital on hold,” Grachev told Cointelegraph.

Stablecoins are increasingly used to settle trades, fund positions, and provide dollar access where traditional banks face limitations.

$300 Billion Stablecoin Supply Boosts Crypto Confidence

Ricardo Santos, CTO at Mansa Finance, said the $300 billion milestone marks a “rebound in digital assets.” He added that the stablecoin market boom reflects fresh liquidity that can move quickly into Bitcoin, Ethereum, or altcoins.

“The $300 billion threshold looks like rocket fuel for the next market cycle,” Santos said. He noted rising stablecoin adoption in countries like Nigeria, Turkey, and Argentina, where residents use USD-pegged tokens for daily payments as “de facto dollars.”

Global Financial Systems Embrace Stablecoins

Stablecoins are being integrated into mainstream financial systems through partnerships with global payment firms such as Visa. This growing connection strengthens their role in global finance.

Circle, the issuer of USDC, recently minted $8 billion worth of the token on the Solana network, with $750 million created in a single day, blockchain platform Lookonchain reported.

According to analyst Kyle Doops, this influx of supply will not remain idle. “Capital doesn’t stay idle for long,” he said, suggesting that record stablecoin levels may soon enter the broader crypto market.

Stablecoins also continue to expand their use in payments, remittances, and savings. Their rising circulation reflects increasing confidence in blockchain-based financial systems.