The market capitalization of the euro stablecoin has soared to nearly $500 million, with the euro/USD and Bitcoin rising at the same rate in the first half of the year.

According to Gate News bot, as reported by CoinDesk, based on data from TradingView, the Euro/US Dollar (EUR/USD) is the most liquid forex trading pair in the world, having surged 12.88% in the first half of the year, outperforming the Nasdaq and the S&P 500, and nearly matching the 14.8% rise of Bitcoin.

The strength of the euro has enhanced the appeal of euro stablecoins.

Data shows that the cumulative market value of 21 stablecoins pegged to the Euro has risen by 44% from 310 million USD to 480 million USD. Leading the rise is the EURC stablecoin under Circle, which is listed in the United States, with its market value increasing by 138% to 200.36 million USD.

"One of my most successful trades this year was transferring all my stablecoins from USDC/USDT to euro-denominated stablecoins like EURC. In less than 5 months, its dollar value rose by 13%." An anonymous host, Legendary, announced on the X platform during The Modern Market Show.

Despite the increasing demand for euro-pegged stablecoins, their total market capitalization is still less than 1% of that of USD-pegged stablecoins, which have a cumulative market capitalization of $254.88 billion.

The euro/USD exchange rate has risen from 1.0354 to nearly 1.17, reaching its highest level since September 2021. The characteristic of this rise is a break in the correlation between the exchange rate and the interest rate differential between the Federal Reserve and the European Central Bank, as well as a general withdrawal of investors from the dollar.

The 90-day correlation coefficient between Euro/USD and Bitcoin has recently jumped to 0.62, the highest level since February 2024, indicating a moderate positive correlation between the two.