Overview
- Tether’s USDT briefly exceeded Ethereum’s valuation during the market sell-off on Friday, June 26, 2026, but the move was intraday and ETH later recovered its position.
- Different ways of measuring size produced mixed headlines because Tether led on fully diluted valuation in some feeds while Ethereum kept second place by circulating market cap in others.
- By mid-2026 Tether reported more than $193 billion in reserves and said its 2025 profits topped $10 billion, facts that underscore USDT’s scale and invite closer regulatory scrutiny.
- Ethereum faces near-term pressure from a falling ETH price and an Ethereum Foundation workforce reduction of about 20%, even as some corporate treasuries like SharpLink and BitMine bought ETH on the dip.
- The episode matters because stablecoins act as on-chain dollar liquidity for trading and payments, so a rising USDT supply signals defensive positioning and leaves a large pool of potential buying power that could fuel future rallies or draw regulatory attention.