ChainCatcher message, Matrixport released today's chart stating that the performance of stablecoins is one of the important indicators reflecting market trends. Generally, an increase in stablecoin trading volume indicates bullish market sentiment, while the growth of Tether's market capitalization reflects more fiat money flowing into the cryptocurrency ecosystem.

However, when these trends reverse, it often means that Bitcoin and the entire crypto market are entering an adjustment phase. Recently, Tether's market capitalization has declined, and trading volume is also decreasing, but asserting that the market is turning bearish at this time may be premature. This change may merely be a seasonal downturn due to the Christmas holiday.

As the new year begins, whether the market will regain bullish momentum will soon be revealed.