CoinGecko's Q1 2026 report reveals a significant downturn in the crypto market, driven by global geopolitical tensions and anticipated shifts in U.S. monetary policy. The total global crypto market capitalization fell by 20.4%, or approximately $622 billion, to $2.4 trillion, marking a 45% decline from its peak in October 2025. Daily trading volumes also dropped by 27.2% to $117.8 billion. Stablecoin market capitalization remained steady at $309.9 billion, though USDT supply saw a notable decrease of 1.6% for the first time since Q2 2022. In contrast, Sky's USDS and WLFI's USD1 experienced growth exceeding 30%. The top ten centralized exchanges (CEX) reported a 39.1% quarter-on-quarter decline in spot trading volumes, totaling $2.7 trillion, with March volumes hitting a low of $0.8 trillion, the lowest since November 2023. Meanwhile, Hyperliquid's commodity perpetual contract (HIP-3) saw a surge in demand, now accounting for 30% of its total open interest.