The cryptocurrency market sees a rough start to May. The space encountered two massive dips following announcements by Fed Reserve. The latest crash saw the market losing 3.7% of its value. Besides that, there’s new data that emerged and might worry investors.
Stablecoins, USD Coin, and Binance USD show enormous volumes today. Surprisingly, the assets have never observed such levels in months. On the other side, Bitcoin welcomed May with bearishness. Initially, the bellwether crypto hovered near $38.5K.
However, market sentiment shifted worse. While writing this content, BTC lost the $35K mark, changing hands around $33,630.75. That meant a crash in the altcoin market, and Ethereum slumped to trade neat $2,460 at this publication.
The Data Front
USDC enjoyed an impressive move within the past 24 hours. According to data from Glassnode, USDC’s active addresses attained a new milestone. The metric hovers at a one-month peak of 1,903.4. That comes after surpassing the previous peak of 1,896.7 on May 6.
USDC transfers also recorded another high today. The last one-month peak of 2,510.8 appeared on May 6 before exceeding today. Binance USD is another stablecoin with a massive activity increase. The asset’s mean transaction volume touched an ATH today, hovering at $2,072,063, eclipsing the last ATH.
The Crypto Market
The cryptocurrency market continued to suffer over the previous day amid dominant bearishness. For now, the market’s trajectory appears weak, indicating further plummets for the tokens. BTC and ETH endured declines within the previous 24 hours. While Bitcoin dropped by 3.52% and Ethereum by 4.21%, the overall crypto market deteriorated.
Persistent bearish sentiment in the marketplace had Bitcoin exchange inflow volume attaining a three-month peak at $57,349,095 (Glassnode data). On the other side, Ethereum declined to new lows, with addresses in losses hitting a two-year peak at 24,881,546.7.
Also, the global crypto market capitalization reflects the dominant bearish actions. This metric hovered near $1.54 trillion at this publication, losing 3.4% over the past day.
So, the surge in stablecoin activity during ugly market sentiments and plunging prices in large-cap assets does not bode well for cryptos in the near term future.