The past quarter has proven to be a challenging period for the cryptocurrency landscape, as affirmed in Binance‘s Q3 ‘Market Pulse’ report. The report uncovers a market that experienced downturns across multiple sectors, although the entry of institutional heavyweights such as Deutsche Bank, Sony, and PayPal did provide some relief.
During this period, the global cryptocurrency market capitalization witnessed a substantial 8.6% decline in a quarter-on-quarter (QoQ) comparison, all while the persistent ‘higher for longer’ interest rate rhetoric looms in the background. Fundraising hit its lowest point since Q4 2020, plummeting by 21.4% QoQ. However, it’s worth noting that infrastructure fared notably better than other sectors.
Activity on blockchain platforms saw a general decrease, with one significant exception in Near, which experienced a remarkable 120% QoQ increase. Near also noticed a surge in active addresses starting in August. On the other hand, BNB Chain experienced a substantial drop, while Ethereum saw a modest rise, and Solana experienced a slight decline.
Total value locked (TVL) in decentralized finance registered a 13.1% drop, even with an influx of real-world assets. On the flip side, liquid staking demonstrated a 10.5% increase. Ethereum retained its leading position among blockchains with 55.1% of TVL, despite an 18.6% decline. Tron’s TVL, on the other hand, saw a notable 17.9% QoQ rise. Tether (USDT) dominated the stablecoin market, capturing 67.2% of the market share.
NFT sales were predominantly led by gaming tokens, even though they also bore the brunt of a price decline, experiencing a significant 44.9% decrease QoQ. It’s worth highlighting that less than 28% of Web3 games have gone live. Google’s decision to allow NFTs in its Play Store games might breathe fresh life into the market, as per Binance’s analysis. Additionally, Sweat Economy and SuperWalk secured second and third places in terms of unique active wallets, signaling a growing interest in play-to-earn games.
Out of the top 10 cryptocurrencies, six witnessed gains this year. Solana’s SOL (SOL) stood out with an impressive increase of 113.73%, while TON debuted on the list with a 3.11% decrease. Bitcoin (BTC) marked a remarkable 63.05% increase so far, and Ether (ETH) followed with a solid 39.9% gain. However, BNB (BNB) faced a decline of 12.77% by the conclusion of Q3 in 2023.”
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