NEW YORK, December 29, 2025, 20:41 ET — Market closed
- Circle Internet Group (CRCL) fell about 0.9% on Monday, tracking a softer tone in U.S. risk assets late in the year.
- A Clear Street note pointed to longer-term upside tied to the growth of “prediction markets,” where traders bet on event outcomes.
- Investors are watching crypto prices and the interest-rate outlook, key drivers for stablecoin issuers’ reserve income.
Circle Internet Group, Inc. shares ended down about 0.9% at $80.51 on Monday, after trading between $79.00 and $82.96 as volumes thinned in the final week of the year.
The move matters because Circle is one of the most visible publicly traded plays on stablecoins — cryptocurrencies designed to hold a steady value, typically pegged to the U.S. dollar — and the stock has become sensitive to shifts in risk appetite and rates.
Circle’s core earnings engine is reserve income, the interest generated on assets held against its USDC stablecoin. Any change in the path of U.S. interest rates can flow quickly into expectations for that income stream.
Circle’s decline came as Wall Street’s main indexes ended lower on Monday, dragged down by heavyweight technology names. “This is (not) the beginning of the end of the tech dominance, it’ll turn out to be a buying opportunity,” said Hank Smith, director and head of investment strategy at Haverford Trust, describing the broader pullback. Investors are also looking ahead to Fed minutes and weekly jobless claims in an otherwise data-light week, Reuters reported. 1
A separate focus for Circle is whether new trading venues will boost demand for dollar-backed crypto rails. Clear Street told clients that Circle and Coinbase could benefit from the expansion of “prediction markets” — platforms where people trade contracts tied to events such as elections or economic outcomes — citing potential spillovers for stablecoin usage, TheFly reported. 2
Crypto prices were mixed into the U.S. close, with bitcoin easing around $87,000, while Coinbase shares fell about 1.3% on the day — a backdrop that kept pressure on crypto-linked stocks. 3
Circle issues USDC, which it describes as redeemable 1:1 for U.S. dollars and backed by cash and short-dated U.S. government obligations, with monthly reserve attestations posted by the company. 4
In its latest quarterly update, Circle reported that profit benefited from higher reserve income alongside growing circulation of USDC, underscoring how closely results can track both interest rates and stablecoin demand. 5
The company went public in June at $31 a share, giving public-market investors a direct line into a business model that sits at the intersection of payments, crypto trading and short-term U.S. rates. 6
Before next session, traders will be looking for direction from crypto prices and any year-end positioning flows, as liquidity stays thin ahead of the New Year holiday.
On the chart, Monday’s low near $79 is the first level many short-term traders will watch; a rebound would put the $83 area back in view after the stock failed to hold early gains.
The next scheduled company catalyst is its fourth-quarter earnings report. Nasdaq’s earnings calendar currently flags February 11, 2026 as an estimate, while noting the date is algorithm-derived and not an announced schedule.
