Main highlights of the post:
This blog anticipates Binance Research's recent report discussing key developments in crypto markets over the past month.
March 2024 was another positive month for cryptocurrencies, with the total market capitalization increasing by 16.3% as BTC surpassed a new all-time high above $73,000 on two occasions.
The DeFi market also maintained its momentum, with TVL increasing 14%. Similar trends were seen in the NFT market, with monthly trading volume increasing 14.6% to $1.41 billion.
Thanks to Binance Research, you can enjoy industry-grade analysis of the processes that are shaping Web3. By sharing these insights, we hope to empower our community with the latest knowledge from the crypto research field.
Crypto Market Performance in March 2024
The crypto market continued its upward trend in March, ending the month with a 16.3% increase in total market capitalization. The price of Bitcoin reached a new all-time high, breaking $73,000 twice before retrieving sharply, with the lowest point around $60,000. Although capital inflows into spot BTC ETFs showed a slowdown in the second half of March, they still managed to capture over $12 billion in net inflows since they were launched in January. As we move into April, we are less than 20 days away from the next Bitcoin halving, one of the most anticipated events in the crypto industry. The narratives surrounding Bitcoin will likely continue to capture market focus, with volatility in price action expected.
Monthly variation in cryptocurrency market capitalization (%)
Source: CoinMarketCap (March 31, 2024)
Monthly Price Performance of Top 10 Coins by Market Cap
Source: CoinMarketCap (March 31, 2024)
Most of the top ten cryptocurrencies by market capitalization saw positive price action in March, maintaining the market's upward trend compared to previous months. SHIB, TON and DOGE led the way with monthly gains of 137.7%, 111.9% and 70.1% respectively. Recently, Meme Coins trading has emerged as a major narrative due to the popularity these tokens have gained on various networks, including Solana and Base. Factors such as price volatility and low unit bias have driven speculation on these currencies.
SOL and BNB posted notable gains, closing the month with price increases of 54.7% and 50.4%, respectively. SOL performed impressively throughout March, reaching a new all-time high in terms of market capitalization and a record decentralized exchange (DEX) volume of $74.5 billion. Slowing its recent rally but remaining on the rise nonetheless, BTC experienced a 13.9% gain, reaching new all-time highs above $73,000 on two occasions. XRP, ETH, and ADA were at the lower end of price performance for the month, with XRP and ETH increasing 6.1% and 5.0% respectively, while ADA witnessed a 1.6% drop.
Decentralized finance (DeFi)
The DeFi market continued its upward trend in total value locked (TVL), recording a 14% monthly gain for March 2024. Among the top ten blockchains, Solana and Base stood out with increases of 94% and 143%, respectively. Heavily driven by the current craze surrounding Meme Coins, Solana's DEX volume has reached a new record of $60 billion. A similar trend was seen at Base, which also recorded a new record of US$7.82 billion in volume. With Meme Coin trading heating up, the potential of these coins to drive adoption on these networks has become a popular topic of discussion within the community.
TVL's participation in the main blockchains
Source: DeFiLlama (March 31, 2024)
Non-fungible tokens (NFTs)
Monthly NFT trading volume
The NFT market also maintained its momentum in March, experiencing an increase in total sales volume of 14.6% to $1.41 billion. NFT collections on Bitcoin such as Ordinals and NodeMonkes have seen a significant increase in sales volume, resulting in monthly increases of 170% and 140%, respectively. These were the best-performing sales collections of the month. In contrast, the buzz around Pandora, the first NFT collection using the ERC-404 standard, died down in March, with the collection's sales volume reducing by 78%. In terms of NFT sales volume on major chains, Bitcoin led with a sales volume of $514 million, followed by Ethereum with $489 million and Solana with $243 million. All other chains recorded substantially lower volumes than the top three.
next events
To help users stay up to date with the latest Web3 news, the Binance research team has summarized notable events and token unlocks for the coming month. Keep an eye on these upcoming developments in the blockchain space.
Important Events in April 2024
Fonte: Binance Research
Biggest token unlocks in terms of US$
Fonte: Token Unlocks, Binance Research
Binance Research
The Binance research team is committed to providing objective, independent, and comprehensive analysis of the crypto space. We publish insightful views on Web3 topics, including but not limited to the crypto ecosystem, blockchain applications and the latest market developments.
This article is just a sample of the full report, which contains additional analysis of the most important market charts from the last month. It also delves into recent developments surrounding BTC price action amid continued ETF inflows, Ethereum's Dencun upgrade, Solana's DEX volumes, and the Dai Savings Rate.
Read the full version of this Binance research report here.
