Stablecoin supply fell $14.2 billion in 30 days, the biggest contraction since the 2022 bear market
According to The Block, Glassnode data showed that the supply of major stablecoins fell by $14.2 billion over the past 30 days, the largest monthly contraction since the 2022 crypto bear market. The current total supply has dropped to just under $280 billion, the lowest level since September 2025.
USDT and USDC together accounted for nearly $11 billion of the decline. CryptoQuant separately reported that USDT’s market capitalization fell by $6.6 billion in the 60 days through November 7, exceeding the $3.2 billion drop in the same period after the FTX collapse. Glassnode noted that a contraction in supply means holders redeem stablecoins for dollars and exit the market, reducing potential buying power for a rebound.
By comparison, in June 2022, 30-day stablecoin supply had nearly fallen by $30 billion, after which Bitcoin hit a cycle low of about $15,500 in November. The current decline is about half of that at the time. The market capitalization of gold-backed tokens has been relatively stable, totaling about $5.61 billion.
Original source: theblock.co/news/ecosystems/2026-11-11-stablecoin-supply-drops-14-2-billion-largest-contraction-since-2022-bear-market-437907
ABAB AI Insight
The contraction in stablecoin supply reflects holders redeeming tokens for fiat currency and exiting the crypto market, reducing immediately available buying power. Glassnode data showed that the supply of major stablecoins fell by $14.2 billion over the past 30 days, the largest drop since the 2022 bear market. USDT and USDC led the decline, with total supply slipping to just under $280 billion.
Unlike periods when markets rise and stablecoin net issuance increases, the current path is dominated by net redemptions. In a similar situation, capital focuses more on whether redemptions continue and whether new funds flow in to reverse the supply trend. After the larger contraction in 2022, the market moved lower again; the current drop is about half of that then and has not yet produced a similarly large liquidity exit.
This contraction has pulled the stablecoin pool back from its highs and may weaken fuel for a short-term rebound. Beneficiaries are the holders who completed redemptions and exited, as well as analytical firms watching liquidity indicators; the market, meanwhile, faces an environment of reduced available buying power. The structural change is that stablecoin supply has shifted from expansion to net redemptions, and the liquidity path has moved from circulation within the market to fiat exit.
Cognitive law
Net stablecoin redemptions reduce available buying power in the market and lessen rebound fuel.
USDT and USDC led the decline, reflecting the scale of redemptions by major issuers.
The current 30-day drop is about half of the 2022 peak and has not yet reached an equivalent scale of exit.