Stablecoin market cap falls $2.2B as investors pivot to gold

The market capitalization of major stablecoins has dropped significantly, with analysis suggesting that these funds are rotating into safe-haven assets like gold and silver. Cointelegraph reported, citing data from Santiment, that the combined market cap of the top 12 stablecoins fell by $2.24 billion over the past 10 days. This period coincided with gold and silver reaching all-time highs, while the cryptocurrency market, including BTC, experienced a correction. Santiment's analysis suggests that in times of growing uncertainty, capital tends to shift from volatile assets to those perceived as stores of value. Historically, strong crypto market rebounds have begun after stablecoin market caps start to increase again, indicating that until then, altcoins may face greater pressure than BTC.