Bernstein Keeps $140 Target on Circle, Says USDC Has Entered New Growth Cycle

Bernstein reiterated its bullish view on stablecoin issuer Circle and maintained its $140 price target, saying a rebound in USDC supply signals a new growth phase.

Cointelegraph reported on Aug. 24 that Bernstein, in a research note published that day, said USDC supply increased by about $2 billion over seven days, ending a six-month stretch of stagnation. The firm described the move as a sign of “digital dollar reflation” and kept its Outperform rating on Circle (CRCL). The $140 target implies about 60% upside from the current share price. Circle shares have climbed about 40% over the past month.

Bernstein cited a recovery in crypto markets, improving regulatory clarity in the US, the expansion of tokenized capital markets and broader use of stablecoins for payments as the next growth drivers for the stablecoin market. It also highlighted early signs that stablecoins are being used as a payment method for artificial intelligence agents.

USDC remains the second-largest dollar-pegged stablecoin by market capitalization, trailing Tether’s USDt (USDT), but it has overtaken its rival in trading-volume share. Bernstein said USDC’s share of the stablecoin market by adjusted trading volume rose from about 40% in 2025 to more than 60% in 2026, surpassing USDt.

Circle raised about $1.1 billion in its June 2025 initial public offering, which was priced at $31 a share. The stock surged after the listing, then fell back to its IPO price level in November 2025 as the broader crypto market declined. In its most recent quarter, the company reported revenue of $701 million and net income of $48 million, both up from a year earlier.