Tether's USDT market cap dips below $70B for an 8-month low

Amid Tether losing market share over the past few weeks, the Circle-backed USDC Stablecoin has been growing notably, with the market value surging to $55 billion. 

Tether(USDT) is the giant Stablecoin and the third-largest digital currency by market capitalization continues to lose its market value. 

USDT's market cap decreased by $70 billion for the first time since October 2021. The drop followed a cascade of repeated declines shortly after the USDT market value reached its all-time high above $80 billion in May. 

According to CoinGecko Tether USDT's market capitalization stands at $69.3 billion up approx $300 million from the multi-month low.

Tether's giant rival USDC is the second-largest U.S dollar-pegged Stablecoin backed by the peer-to-peer payments technology company Circle. Stablecoin reached a $50 billion market cap in February and has never beaten Tether's market cap so far. 

While Tether has been losing market share over the past few weeks, another Stablecoin like the USD coin (USDC) has been gaining value, USDC's market cap surged from about $48 billion in mid-May to $55 billion in mid-June. 

Tether's shrinking market cap comes amid the ongoing market panic and uncertainty, with the market capitalization of all cryptocurrencies dropping below $1 trillion for the first time since February 2021. 

Tether firm has been actively posting a statement to assure investors that the company has not been affected by the ongoing crypto lending crisis on Monday, Tether declared that issues around the crypto lending platform Celsius had nothing to do with the firm and would not impact USDT reserve. 

Tether subsequently declared plans to get rid of commercial paper backing for the USDT Stablecoin. 

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