Circle, the company behind the USDC stablecoin, could see its shares climb another 60% to $190, according to a new report from Bernstein. This bullish forecast comes even after the stock more than doubled in recent weeks. Analysts, led by Gautam Chhugani, argue that the fundamental story for stablecoins is changing. The key shift, Bernstein notes, is that stablecoin adoption is no longer tied to the boom-and-bust cycles of the broader cryptocurrency market. Despite a prolonged crypto downturn, the supply of USDC has rebounded to nearly $78 billion, close to its all-time high. Transaction volume for stablecoins has jumped over 90% year-over-year, and the tokens are changing hands more frequently—signs they are being used for more than just trading digital assets. Everyday payments are driving this new phase. Visa now supports over 130 stablecoin-linked cards globally, processing billions annually. Circle’s own payments network, which allows institutions to move USDC across borders, is growing and already handles billions in volume with dozens of partners. Looking forward, Bernstein identifies a novel catalyst: the rise of autonomous AI agents. As software programs conduct more transactions independently, stablecoins like USDC could become the standard for machine-to-machine micropayments. In preparation, Circle is developing a new blockchain, Arc, specifically designed for high-speed, low-cost payments. This positions the company at the intersection of two transformative trends: the mainstreaming of digital dollars and the automated economy.

Source: CoinDesk