The USD coin (USDC) was one of the few digital currencies that was able to withstand the selling pressure in the market in May, leading to a rise in one of the most widely used stablecoins.
The token remains the top five digital asset by market capitalization in June. According to Happen[In]crypto Research, USDC closed the fifth month of the year with a market capitalization in the region of $53.92 billion.
This marked a rise of 8% from the opening day’s market cap. On May 1, USDC saw trading volume of $3.76 billion, which corresponded to a market capitalization of approximately $49.29 billion.
Why increasing market capitalization?
The high demand for the stablecoin by crypto platforms and investors can be attributed to the spike in the market capitalization of the token during the peak of the market crash in May.
In May, the number of large transactions peaked in the week of May 9 to 15. During the week, the coin was involved in 97,140 transactions. Simultaneously, the number of large transactions reached a peak of 23,690 on May 12 at a price of $0.966500.
This corresponds to a trading volume of 41.45 billion tokens at the same price.
The total transaction volume of 41.45 billion USDC multiplied by $0.966500 equals $40.06 billion.
On May 12, it opened at $1, reached an intraday high of $1.01, tested an intraday low of $0.9995, and closed the day at $1.
Trading volume for the day was $18.61 billion and corresponded to a market capitalization of $49.59 billion, an increase of 0.61% from the opening day’s market cap.
Due to increased demand to prevent large percentage losses, the coin recovered its peg throughout the month.
USDC Price Feedback
USDC opened May 1 at $1, reached a monthly high of $1.01 on May 12, tested a monthly low of $0.9993 on May 10, and closed the month at a trading price of $1. Overall, there was no change in the coin’s opening and closing prices in May.
