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Tether (USDT), the largest stablecoin by trading volume, has reclaimed third place in the ranking of digital assets by market capitalization. USDT displaced XRP after an additional $0.6 billion boost to its market cap in a few days.
Tether USDT metrics back in spotlight
USDT has a market capitalization of $137.22 billion against XRP’s $136.62 billion. Notably, XRP surpassed the stablecoin when its price rallied and the broader cryptocurrency sentiment around USDT was uncertain.
Market participants were concerned about Tether’s noncompliance with European Markets in Crypto Assets (MiCA) regulation. The stablecoin’s refusal to comply with the new digital assets regulation led to the shutting down of its Euro Tether (EURT) stablecoin, triggering panic among users.
However, despite the delisting of USDT on Coinbase, concerns among market participants on Tether appear to have faded away. Investors are now embracing the stablecoin, as evidenced by its significant surge in market volume of 12.93% to $76.9 billion.
According to CoinMarketCap data, USDT has regained interest in the broader crypto space, soaring to $1.0088. Per the current outlook, the stablecoin has regained its lost peg to the U.S. dollar.
Tether's resilience amid MiCA FUD
Analysts say that with Tether’s fear, uncertainty and doubt (FUD) fading from the market, USDT might stabilize in its newfound spot. Meanwhile, the stablecoin company recently received a digital asset license to operate in Abu Dhabi, in the United Arab Emirates.
The development suggests that Tether remains determined to maintain its leading role in the digital asset space amid a push into new markets.
Tether CEO Paolo Ardoino has also assured the community of the stablecoin’s resilience. Ardoino emphasized that no amount of FUD can bring Tether down, as it remains unstoppable.
The next couple of weeks will determine if the sentiments of the incoming new administration in the U.S. can support XRP’s price to flip USDT again.