According to Henri Arslanian, several SEC investigations are wrapping up, signaling a potential shift for the US crypto market as regulatory clarity improves. Arslanian highlights that stablecoins could emerge as the next major growth area in the US, offering both liquidity and stability for traders. This regulatory easing may encourage institutional participation and boost the adoption of USD-backed stablecoins, which could positively impact trading volumes and volatility in the broader cryptocurrency market. Source: Henri Arslanian on Twitter, May 30, 2025.

According to Mihir (@RhythmicAnalyst) on Twitter, the primary focus within the crypto market remains on USD-based stablecoins, with the US dollar serving as the central reference point for trading and liquidity management (source: twitter.com/RhythmicAnalyst/status/1924649541636174184). This emphasis ensures that most trading pairs and DeFi protocols rely on USD stablecoins like USDT, USDC, and DAI to provide price stability, reduce volatility, and facilitate seamless cross-exchange arbitrage. Traders should note that shifts in USD stablecoin supply or regulatory actions directly impact liquidity and price efficiency across major exchanges, affecting trading strategies and risk management.

According to Mihir (@RhythmicAnalyst), the Federal Reserve currently has no platform to launch a Central Bank Digital Currency (CBDC), making stablecoins issued on public and private blockchains the only viable alternative for digital dollar settlements (source: Twitter, May 6, 2025). This development signals increased reliance on established USD-backed stablecoins like USDT and USDC, particularly on public blockchains, while banks are expected to utilize private blockchain-based stablecoins for institutional transfers. Traders should monitor potential demand surges and regulatory developments around major stablecoins, as well as the adoption rates of private blockchain solutions, since these factors could drive liquidity shifts and volatility in the broader cryptocurrency market.

According to Tether (@Tether_to), Paolo Ardoino highlighted at TOKEN2049 Dubai how USD₮ is enhancing global payment infrastructure by enabling faster, cheaper, and borderless transactions. Traders should note the increasing adoption of USD₮ in cross-border settlements and its growing influence on liquidity and transaction efficiency across global markets. This trend supports the stablecoin's role as a preferred vehicle for international crypto trading and remittances (source: @Tether_to, April 30, 2025).