Stablecoins hit an all-time high in monthly transaction volume as Circle’s USDC (USDC) outperformed Tether’s USDT (USDT), fresh data shows.

Key takeaways:

• Monthly stablecoin transaction volume reached a record high of $1.8 trillion in February.

• USDC accounted for 70% of all stablecoin volume.

• The growing supply of stablecoins on exchanges puts cryptocurrency markets in a good position for recovery.

USDC “consistently” changes USD transfer volumes

Stablecoin transfer volumes reached $1.8 trillion in February, setting a monthly record, according to the company data from Allium.

Stablecoins are cryptocurrencies designed to maintain a stable value, typically pegged to fiat currencies such as the US dollar, and can be hosted on multiple blockchains.

Similarly, USDC transaction volume reached a high of $1.26 trillion, marking a fresh milestone in the adoption of the second-largest stablecoin by market capitalization since its launch in September 2018.

Related: The Florida Senate has passed the state’s stablecoin bill and is awaiting DeSantis’ signature

This is more than twice as much as in tonnes of dollars, the volume of transfers of which in February amounted to USD 514 billion.

In fact, USDC has “consistently reversed” Tether transfer volume over the past few months, Moonrock Capital founder Simon Dedic he said in Friday’s post on X.

The operate of USDC is a “surprise” given its market capitalization is less than half that of USD tonnes, Dedic added. USDC is the second largest stablecoin by market capitalization at $77.4 billion compared to $184 billion.

Moreover, in recent weeks the supply of USDC has been growing faster than tons of USD. According to market research firm Arkham, more than $3 billion in USDC has already been printed in March as the supply of tons of USD remains relatively unchanged.

CIRCLE just hit $250 million $USDC

Circle just minted another 250 million USDC on Solana. They minted over $3 billion in the first week of March alone.

If Circle continues at this pace, it will mint over $12 billion USDC by the end of the month. pic.twitter.com/aoQKi6zbFE

— Arkham (@arkham) March 7, 2026

As Cointelegraph reports, USDC issuer Circle Internet Group reported forceful earnings for the fourth quarter of 2025, which can be attributed to the rapid growth of its USDC business and the expansion of its payment operations.

Greater stablecoin liquidity suggests ‘purchasing power’

The Stablecoin Supply Ratio (SSR), or the ratio of Bitcoin’s (BTC) market capitalization to the market capitalization of stablecoins, is “rising steadily after the crash” in February, he said CryptoQuant analyst Sunny Mom in Friday’s Quicktake post, adding:

“It shows that purchasing power is coming back into the market.”

Meanwhile, Bitcoin’s recent surge to $74,000 was fueled by a recovery in stablecoin supply on cryptocurrency exchanges, which surged to a three-week high of $66.5 billion on Friday.

Stablecoin influences on exchanges have raised the SSR along with the price of Bitcoin (BTC). On March 5, the total amount of stablecoins transferred to the exchange was almost $5.14 billion, up from $1.14 billion on March 1.

More stablecoins on exchanges means more purchasing power for cryptocurrencies. In the past, the return of withdrawn capital to stock exchanges was the main catalyst for the start of the Bitcoin boom.