Tether’s Unstoppable Dominance: How USDT is Shaping the Crypto Market in 2025

Tether (USDT) Dominance: Key Insights for Traders in 2025

Tether (USDT) is maintaining its stronghold in the cryptocurrency market, solidifying its place as the leading stablecoin. On March 25, 2025, Paolo Ardoino, CEO of Tether, tweeted about the company’s continuing dominance, which was featured in an analysis by ABC Money. The article emphasized Tether’s central role in the crypto ecosystem, noting that USDT’s market cap reached $112 billion by March 25, 2025, representing nearly 70% of the entire stablecoin market.

Tether
Live graph from coingecko

Tether’s Market Impact: Liquidity & Trading Volume

USDT’s dominance is evident in its staggering 24-hour trading volume of $56.3 billion, according to CoinGecko. This liquidity makes USDT an essential asset for crypto traders. As of 11:00 AM UTC, USDT was involved in 52% of all trades on major exchanges like Binance and Coinbase (source: CryptoCompare). Its significant presence in the market ensures that large trades can be executed without heavily impacting prices, creating a more stable and efficient trading environment.

Moreover, on-chain data indicates that the number of USDT transactions on the Ethereum network surged by 15% in the last week, hitting 1.2 million transactions as of March 25, 2025 (source: Etherscan). This uptick in transactions highlights the growing reliance on Tether for executing transactions and storing value within the crypto ecosystem.

Market Sentiment & Volatility

The dominance of USDT also influences broader market sentiment. For example, on March 25, 2025, the USDT/USDC trading pair saw a slight increase in value, suggesting that traders are preferring USDT over USDC at this moment (source: CoinDesk). As USDT remains the go-to stablecoin for trading pairs, its dominance can increase volatility in other cryptocurrencies, with traders using USDT to shift between volatile assets.

The ETH/USDT pair on Kraken saw a 3% increase in trading volume, totaling $3.2 billion in the last 24 hours as of 3:00 PM UTC (source: Kraken). This suggests that traders continue to use USDT as a safe base for trading more volatile cryptocurrencies.

Technical Indicators for USDT in March 2025

From a technical perspective, Tether’s dominance is supported by several key indicators. The Moving Average Convergence Divergence (MACD) for the USDT/BTC pair showed a bullish crossover on March 25, 2025, indicating potential upward momentum (source: TradingView). Additionally, the Relative Strength Index (RSI) for the pair stood at 62, reflecting a balanced market without signs of being overbought or oversold (source: TradingView).

High trading volumes for USDT across major exchanges like Huobi, which reported a 24-hour volume of $45 billion (source: Huobi), further indicate that Tether remains a primary asset for traders. Furthermore, the average transaction size for USDT on the Tron network increased by 10%, reaching $15,000 over the last week (source: TronScan), showing that larger investors are increasingly turning to Tether for their transactions.

Key Takeaways for Traders

Tether’s dominance in the crypto market as of March 25, 2025, has significant implications for traders. The stability and liquidity offered by USDT are crucial for executing large trades and ensuring efficient market movement. Its influence on market sentiment, trading volume, and on-chain activity is undeniable. Traders should closely monitor USDT’s market share, transaction volumes, and technical indicators to capitalize on the opportunities it presents.

Also Read: Ethereum’s Price Struggles: Is a $1,200 Crash Incoming?

USDT Transfers on Ethereum Become Cheaper Than on Tron

USDT transfers are now cheaper on Ethereum ($0.40) than Tron ($3.72), thanks to Ethereum’s low gas fees.

In a surprising twist, USDT transfers are now cheaper on Ethereum than on Tron. Ethereum’s gas fees have dropped to their lowest level in five years, making it a more affordable option than Tron, which was once known for having the lowest transaction fees in the blockchain world.

For example, transferring USDT from Trust Wallet costs just $0.40 on Ethereum, in comparison to $3.72 on Tron. This is a huge shift, considering it was once one of the most expensive blockchains to use due. At one point, users were paying as much as $198 per transaction on Ethereum! But now, the average gas price on Ethereum has dropped to a super-low $0.05 per transaction.

While Tron has been dominant in fee generation recently, Ethereum’s price drop could signal a shift in the DeFi ecosystem. Solana is currently leading the pack in 24-hour fee generation, with Tron and Ethereum following behind.

With gas fees now much cheaper, experts believe that Ethereum’s DeFi ecosystem could see a major recovery in the coming months, gaining back the traction it lost due to high transaction costs.

Also Read: Elon Musk’s ‘Harry Bolz’ Name Change Sparks Over 200 New Memecoins

Abu Dhabi Embraces Tether’s USDT as an Approved Virtual Asset

Abu Dhabi just gave Tether’s USDT the official virtual asset status, letting licensed financial institutions offer regulated services with it across blockchains like Ethereum and Solana. This move aligns with the UAE’s goal to be a digital finance hub, blending crypto with traditional finance for innovation and stability.

Abu Dhabi just made a power move in the crypto world by recognizing Tether’s stablecoin, USDT, as an official virtual asset (AVA). The Abu Dhabi Global Markets (ADGM) Financial Services Regulatory Authority gave the green light, meaning financial institutions can now offer regulated services using USDT across blockchains like Ethereum, Solana, and Avalanche.

This isn’t just a win for Tether but a super flex for the UAE’s digital finance strategy. By integrating this into its regulated ecosystem, Abu Dhabi is essentially just building a bridge between old-school finance and decentralized systems. It’s all about staying ahead in the game and changing the face of crypto market.

With a market cap of massive $138 billion, USDT is already the king of stablecoins, and this move only solidifies its throne. And now with financial providers in ADGM, they can use USDT to create secure, compliant services, backed by the UAE’s rock-solid economic reputation.

Tether’s CEO, Paolo Ardoino, called this a “game-changer,” highlighting how stablecoins are reshaping modern finance. He’s hyped about Tether’s role in helping Abu Dhabi become a leader in digital transformation and economic innovation.

The UAE, especially Abu Dhabi and Dubai, is killing it in the blockchain scene, thanks to its smart regulations. These cities are now global crypto hubs with thriving blockchain communities. Clearly, the UAE isn’t just riding the crypto wave—it’s leading it.

Also Read: Coincheck: Japan’s Leading Crypto Exchange Goes Public on Nasdaq

XRP Surges to Claim Spot as Third Largest Cryptocurrency

XRP just leveled up on its game after overtaking Solana and USDT to become the 3rd biggest crypto. Its price spiked 30% in just a day and hit a massive $2.5, with a insane 370% jump from previous months . Ripple’s stablecoin RLUSD approval buzz and SEC drama are fueling the hype.

XRP is having its main character moment, y’all. The altcoin just flexed big time, climbing over Solana (SOL) and USDT to snatch the #3 spot in the crypto market. Right now, only Bitcoin and Ethereum are ahead of it, but the way XRP is moving, people are starting to wonder if this is just the beginning.

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Source: coingecko

Here’s the tea: XRP hit $2.5 recently, spiking over 30% in just 24 hours. It’s now trading around $2.41, and that’s after a massive 370% gain since November 1. If you’re wondering why everyone’s losing their minds over it, one reason is Ripple’s new stablecoin, RLUSD. The New York regulators are apparently ready to approve it, which is a big deal because NY has some of the toughest rules in the crypto game. If RLUSD gets the green light, Ripple can step into the big leagues with stablecoin giants like Tether (USDT) and Circle’s USDC.

But wait, there’s more! SEC Chair Gary Gensler just announced he’s dipping out in January, and that news has been giving XRP even more of a boost. People are also buzzing about potential XRP ETFs, with major players like 21Shares and Bitwise lining up to get in on the action.

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