Binance Research: Key Trends in Crypto – October 2023
Main Takeaways
In this blog series, we offer concise summaries of the Binance Research team’s findings, inviting you to take a deeper dive into the original reports.
This article previews the recent Binance Research report discussing key developments in crypto markets over the past month.
The crypto market experienced small fluctuations throughout September 2023, ending the month with a 2.6% increase in market capitalization.
Thanks to Binance Research, you can take advantage of industry-grade analyses of the processes that shape what the Web3 space will look like tomorrow. By sharing these insights, we hope to empower our community with the latest knowledge from the field of crypto research. For a deeper dive, the full reports are available on the Binance Research website.
In financial markets, knowledge is power. Gone are the days when only big institutions and sophisticated financiers used high-quality research to navigate the digital asset space. Thanks to Binance Research, you can empower yourself with the latest data and insights from the field of crypto intelligence.
Today’s article explores key Web3 developments in September 2023 to provide an overview of the crypto ecosystem’s current state. We analyze the performance of crypto, DeFi, and NFT markets before previewing the major events to look out for in October 2023.
Crypto Market Performance in September 2023
The crypto market saw small fluctuations in September 2023, with total market capitalization increasing by 2.6%. There were two main periods of volatility throughout the month. The first could be traced to the announcement of FTX liquidating its cryptocurrency holdings around September 11. The second revolved around the Federal Open Market Committee’s meeting on September 20. Despite these developments raising concerns in the market, it was able to rebound and end the month in the green.
Monthly change in crypto market capitalization (%)
Source: CoinMarketCap (September 30, 2023)
Monthly price performance of the top 10 coins by market capitalization
Source: CoinMarketCap (September 30, 2023)
Most of the top 10 coins by market capitalization ended September with price increases. TON was the most successful performer, with a considerable rise of over 20%. This rally could be attributed to Telegram’s TON wallet integration and promotion of a TON-based ecosystem. BTC and ETH displayed resilience throughout the month, largely reflecting overall market sentiment.
Decentralized finance (DeFi)
Though its magnitude was relatively small, DeFi extended its downtrend for the seventh consecutive month, with a 0.36% fall in total value locked (TVL). Notably, Tron saw strong performance in September, with its TVL increasing by 25% for the month. Mixin Network recorded a significant decline of over 60% due to a $200M exploit that contributed to overall decreases in DeFi TVL.
TVL share of top blockchains
Source: DeFiLlama (September 30, 2023)
Non-fungible tokens (NFTs)
Monthly trading volume for NFTs
Source: Cryptoslam (September 30, 2023)
The NFT market also extended its decline in September, with total monthly trading volumes falling to $0.29B, a new low for the year. Nansen’s NFT-500 index and the Blue-Chip-10 index recorded 58% and 53% declines since the start of the year, respectively. Overall, 2023 has been a tough year for NFTs, hitting new lows in trading volume almost every month so far.
Upcoming Events
To help users stay updated on the latest Web3 news, Binance Research has summarized notable events and token unlocks for the month to come. Keep an eye on these upcoming developments in the blockchain space.
Notable events in October 2023
Source: Binance Research
Largest token unlocks in US$ terms
Source: TokenUnlocks, Binance Research
Binance Research
The Binance Research team is committed to delivering objective, independent, and comprehensive analyses of the crypto space. They publish insightful takes on Web3 topics, including but not limited to the crypto ecosystem, blockchain applications, and the latest market developments.
This article is only a snapshot of the full report, which contains further insights and analyses of the most important market charts from the past month. It also features an exploration of account abstraction, the stablecoin market, Ethereum gas consumption, and DeFi perpetuals.
To read the full version of this report, click here. Additionally, you can find other in-depth investigations of the latest Web3 developments by visiting the Insights & Analysis page on the Binance Research website. Take the opportunity to empower yourself with the latest insights from the field of crypto research!
Further Reading
General Disclosure: This material is prepared by Binance Research and is not intended to be relied upon as a forecast or investment advice and is not a recommendation, offer, or solicitation to buy or sell any securities or cryptocurrencies or to adopt any investment strategy. The use of terminology and the views expressed are intended to promote understanding and the responsible development of the sector and should not be interpreted as definitive legal views or those of Binance. The opinions expressed are as of the date shown above and are the opinions of the writer; they may change as subsequent conditions vary. The information and opinions contained in this material are derived from proprietary and non-proprietary sources deemed by Binance Research to be reliable, are not necessarily all-inclusive, and are not guaranteed as to accuracy. As such, no warranty of accuracy or reliability is given, and no responsibility arising in any other way for errors and omissions (including responsibility to any person by reason of negligence) is accepted by Binance. This material may contain ‘forward-looking’ information that is not purely historical in nature. Such information may include, among other things, projections and forecasts. There is no guarantee that any forecasts made will come to pass. Reliance upon information in this material is at the sole discretion of the reader. This material is intended for information purposes only and does not constitute investment advice or an offer or solicitation to purchase or sell in any securities, cryptocurrencies, or any investment strategy, nor shall any securities or cryptocurrency be offered or sold to any person in any jurisdiction in which an offer, solicitation, purchase, or sale would be unlawful under the laws of such jurisdiction. Investment involves risks.