Bitwise: Circle Could Reach $75 Billion Valuation by 2030, Analyst Bullish on Stock

BlockBeats News, March 25th: Despite a temporary 20% price drop earlier this week, market institutions remain optimistic about Circle's outlook. Bitwise Asset Management believes that with the expansion of the stablecoin market, Circle could reach a valuation of $75 billion by 2030.

Bitwise CIO Matt Hougan stated that, according to Citigroup's prediction, the stablecoin market could reach $19 trillion by 2030, with USD Coin currently holding about a 25% market share, and its growth trajectory remaining unaffected by policy changes.

Previously, concerns in the market arose due to the proposed US "Clarity Act," which could potentially restrict incentive mechanisms associated with holding or using USDC, leading to sell-offs. However, analysts including William Blair and Bernstein believe that this legislation would have limited long-term fundamental impacts on Circle and might even weaken competitors' ability to attract liquidity through high yields.

Meanwhile, competitor Tether is advancing its compliance efforts (including introducing the "Big Four" audits) in an attempt to expand its influence in the US market. Analysts point out that despite increased competition, Circle's first-mover advantage may help it maintain its market position.