Stablecoin market cap grew by 50% over six weeks, while the number of Ripple supporters fell by 82%

Number of Ripple supporters in Twitter drops 82%

Companies EToro and The Tie have examined the number of Twitter users supporting the Ripple project. It turned out that since 2018 they have reduced in number by 82%.

Researchers attribute this to the XRP price drop: in January 2018, the coin set the all-time high price at $3.84, and now it is trading at $0.18. Another reason, according to analysts, is the sale of tokens by Ripple itself.

The startup occasionally sends a part of their savings to the market in order to finance its activities, as stated by the startup CEO Brad Garlinghouse.

Stablecoin market cap goes up 50% over six weeks

The total value of all stable coins has reached $9 billion, according to CoinMetrics. Just six weeks ago it was $ 6 billion.

The largest share is held by USDT — last week Tether issued another 120 million tokens which made their total capitalization reach $6,396 billion.

Earlier, Ryan Selkis, Messari CEO, noted that there are 3 billion stablecoins on the exchanges. In his opinion, this indicates that investors are waiting for a suitable price to purchase cryptocurrency.

Research: cryptocurrencies threaten the banking system

Researchers at Law Faculty of the University of Oxford have discovered that investors are massively shifting from traditional markets to cryptocurrencies. The reason behind is the crisis caused by the coronavirus pandemic.

According to scientists, investors lose confidence in the government and banks, and decentralized cryptocurrencies provide them with a good alternative. However, this poses a threat to the traditional financial system.

“Sophisticated investors lure uninformed investors into the cryptomarket by creating an artificial demand for tokens and then swiftly selling their tokens, leaving the uninformed investors with a loss,” the study says.

University experts note that the cryptocurrency market has an impact on the stock market, so regulators “should take the cryptomarket seriously”.

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