Market Cap of Euro Stablecoins Surges to Nearly $500M as EUR/USD Rivals Bitcoin's H1 Gains

The Euro-U.S. dollar speech (EUR/USD), the world's astir liquid overseas speech pair, has surged 12.88% successful the archetypal half, outperforming Nasdaq and S&P 500 and astir rivaling bitcoin BTC 14.8% rise, according to information root TradingView.

The spot of the euro has accrued the entreaty of stablecoins with values pegged to the euro.

The cumulative marketplace headdress of 21 euro-pegged stablecoins tracked by information root Coingecko has accrued 44% from $310 cardinal to $480 million. Leading the maturation is the U.S.-listed Circle's EURC stablecoin, whose marketplace headdress has accrued by 138% to $200.36 million.

"One of my bets trades this twelvemonth was to determination my full stablecoin stack from USDC/USDT into a Euro-denominated stablecoin similar EURC. Up 13% successful dollar worth successful little than 5 months," Legendary, the pseudonymous big of The Modern Market Show, announced connected X.

While the request for euro-pegged stablecoins has increased, their combined marketplace headdress remains little than 1% of that of dollar-pegged stablecoins, which boast a cumulative market worth of $254.88 billion.

EUR/USD has risen from 1.0354 to astir 1.17, hitting the highest since September 2021. The upswing is characterized by a breakdown successful the correlation betwixt the speech complaint and the differential betwixt the Fed and ECB involvement rates, arsenic good arsenic a broad-based displacement distant from the US dollar.

The 90-day correlation coefficient betwixt EUR/USD and bitcoin has precocious jumped to 0.62, the highest since February 2024, indicating a mean affirmative correlation betwixt the two.