Author: Binance Research
Compiled by: Deep Tide TechFlow
This content explores key developments in Web3 for November 2024, outlining the current state of the ecosystem. Before previewing significant events to watch in December 2024, we analyze the performance of the cryptocurrency, DeFi, and NFT markets.
Cryptocurrency market performance in November 2024
In November 2024, the cryptocurrency market reached unprecedented heights, with total market capitalization soaring to a record US$3.47 trillion. This growth was propelled by a significant rise in Bitcoin to over US$100,000 and substantial institutional participation, evidenced by over US$6.5 billion in spot ETF inflows over the past seven weeks. The Federal Reserve reduced interest rates to 4.5%-4.75% on November 7, boosting confidence in risk assets, while the resignation of SEC Chairman Gary Gensler intensified speculation about potentially favorable regulatory reforms for digital assets.
BTC and ETH spot ETFs led the way, breaking inflow records with cumulative net inflows exceeding US$30 billion and US$5.77 billion respectively. BlackRock's iShares Bitcoin Trust and Grayscale's Ether ETF emerged as market leaders, highlighting institutional interest in cryptocurrencies.
Altcoins also saw a resurgence, with CoinMarketCap's altcoin season index rising from 27 to 70, and total market capitalization increasing by US$470 billion. Amid explosive DEX activity exceeding US$120 billion, Solana's daily fees surpassed Ethereum, despite controversies dampening the trading frenzy for memecoins. Ethereum regained its dominance in stablecoin liquidity, surpassing Tron to become the leading network for USDT, with supply increasing by 31.4% to US$61.8 billion.
November saw a 39.9% increase in cryptocurrency monthly market capitalization
Source: CoinGecko as of November 30, 2024
Monthly price performance of the top 10 tokens by market capitalization
Source: CoinMarketCap as of November 30, 2024
In November 2024, with the resignation of SEC Chairman Gary Gensler and growing optimism regarding Ripple's regulatory outlook, XRP led the cryptocurrency market with an astounding 362.3% increase. The XRP exchange-traded product (ETP) submitted by WisdomTree further solidified investor confidence.
ADA follows closely, soaring 216%, thanks to the $NIGHT tokens allocated to ADA holders from the Glacier Airdrop and Cardano's collaboration with BitcoinOS to leverage Bitcoin's liquidity. Speculation surrounding Charles Hoskinson's discussions with the Trump administration has added momentum to ADA.
Driven by Elon Musk and Vivek Ramaswamy's 'Department of Government Efficiency' (DOGE) initiative, DOGE rose by 160.4%, with speculation about integration into social media platforms intensifying this trend. Amidst growing regulatory optimism and memecoin enthusiasm, SHIB also performed well, rising by 70.7%.
Supported by institutional capital inflows, the Federal Reserve's interest rate cuts, and increased adoption of layer 2 solutions to enhance scalability, ETH rose by 45.1%. Driven by a strong average weekly ETF inflow of US$180 million and optimism regarding regulatory changes following the U.S. presidential election, Bitcoin rose by 36.9%. TON (+33.3%), TRX (+24.7%), and BNB (+10.8%) achieved more moderate gains, also benefiting from regulatory optimism and developments on specific platforms. Notably, BNB's growth was associated with the success of its BNB Greenfield project, attracting major projects like Limewire.
Decentralized Finance (DeFi)
In November 2024, the total value locked (TVL) in DeFi soared by 33.7%, reflecting ongoing on-chain momentum and higher expectations for regulatory clarity. Solana, Base, and Sui led with TVL growth rates of 43.4%, 32.9%, and 54.0% respectively. Driven by institutional and retail capital inflows, Solana's TVL reached a historic high of US$8.8B. Major contributors include liquidity staking protocols like Jito, Sanctum, and Binance Staked Sol (BNSOL), as well as liquidity providers Drift and Raydium, supporting the network's expanding on-chain trading volume. The rise of real-world assets (RWA) further fueled growth, with developer activity surging by 14,450% as Chainlink's infrastructure connects blockchain networks with real-world data.
Due to strong user participation in the lending market, Base's DeFi TVL climbed to US$3.4B, a growth of 33.4%. Uniswap's TVL surged by 55.4% due to seamless integration with Base and Arbitrum, solidifying its dominance in liquidity provision. The network also set a record with over 9.2 million daily transactions, highlighting its scalability. Meanwhile, driven by strong capital rotation in the Sui chain, Sui's TVL reached a record US$160 million. Outstanding protocols include Suilend, with a TVL increase of 86.5%, as well as projects like Navi Protocol, Cetus AMM, and Scallop Lend, indicating the network's growing appeal in DeFi innovation.
TVL share of top blockchains
Source: DeFiLlama as of November 30, 2024
NFT
Monthly NFT trading volume
In November, total NFT market sales skyrocketed by 57.6%, with ETH NFT sales surpassing US$0.5B. However, the number of independent buyers and sellers decreased by 24.7%, indicating that fewer, higher-value transactions are consolidating. The oversaturation phenomenon persists, with about 98% of NFT projects launched this year still unprofitable, highlighting challenges in profitability and sustained market participation. The results of the Ethereum series were mixed, with CryptoPunks leading with a growth rate of 141.4%, while Doodles rebounded impressively at 584.0%. Innovative projects like Courtyard.io continue to maintain stable activity, averaging daily sales of 3,500.
Driven by enthusiasm for Ordinals and the BRC-20 protocol, Bitcoin NFT trading volume surged by 220%, with leading collections like ArtBlock and NodeMonkes experiencing significant growth. Other chains, including Solana (+19.3%), Polygon (+28.6%), and BNB Chain (+48.1%), also reported notable increases. These trends reflect a resurgence of optimism in the broader cryptocurrency market, despite ongoing challenges in maintaining wide participation and profitability.
Upcoming events and token unlocks
To help users stay updated on the latest Web3 news, the Binance Research team summarizes significant events and token unlocks for the upcoming month. Stay tuned for upcoming developments in the blockchain space.
Source: Itez, Binance Research
Largest token unlocks measured in USD
Source: CryptoRank, Binance Research
