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  • This is a summary of a recent report from Binance Research that looks at key developments in the crypto market over the past month. 

  • In June, the cryptocurrency market saw significant downward momentum and declined by 11.4%.

  • Amid the market downturn in June, DeFi's overall TVL fell by 8.7%. The NFT market experienced a long decline, with total sales coming in at $46 million (down 26.2% from May).

The Binance Research platform offers industry analysis of the processes shaping the Web3 world. We bring current knowledge from the field of crypto research to our community.

Today we will look at the main events in the Web3 space for June 2024 and talk about the current state of the ecosystem. We will analyze the performance of cryptocurrencies, DeFi and NFTs, and also find out what to expect in July 2024.

Cryptocurrency market indicators in June 2024

There was strong momentum in early June, but then the market experienced heavy selling and large-scale liquidations. A key factor in this decline was the scheduled July distribution of Mt. Gox worth over 140,000 BTC. Notably, the US and German governments transferred large volumes of BTC to centralized exchanges, which increased negative sentiment in the market. However, there were some positive developments: asset managers VanEck and ARK 21Shares filed to register the first Solana ETFs in the United States.

In June, cryptocurrency market capitalization decreased by 11.4%

Source: CoinMarketCap (June 30, 2024) 

Monthly price dynamics of the 10 coins with the highest market capitalization 

Source: CoinMarketCap (June 30, 2024) 

Against the backdrop of active sales, most coins in the top ten leaders by market capitalization ended the month in the red. TON was the only one to significantly outperform the market, reaching an all-time high of $8.24 and ending the month with a gain of 17.5%. Additionally, its DeFi TVL has grown to $700 million, largely driven by the success of the Open League, a long-term incentive program for TON users, teams, and traders. 

BNB lost 18.8%, ending the month in the red. XRP saw similar volatility, down 9.0% at the end of the month. BTC experienced a 10.9% drop from the previous month (largely influenced by the Mt. Gox announcement). ETH fell 10.0% in June despite the closure of the SEC investigation into Ethereum 2.0 and Consensys, as well as progress in the approval of the Ethereum ETF. Later this month, the SEC filed another lawsuit against Consensys' MetaMask and its staking platforms, Lido and Rocket Pool. ADA and SOL recorded declines of 14.0% and 16.2% for the month. However, towards the end of June, SOL experienced a notable rally driven by the launch of the first US spot Solana ETFs from digital asset managers VanEck and ARK 21Shares. AVAX fell significantly by 23.0%, while SHIB and DOGE retreated by 27.7% and 34.8%, respectively. The brunt of the market downturn fell on memcoins, which underperformed compared to the rest of the market.

Decentralized Finance (DeFi)

Amid the market downturn in June, DeFi's overall TVL fell by 8.7%. Among the growth leaders for the month are second-tier Bitcoin networks Bsquared and CORE, which recorded an impressive increase in TVL by 332% and 300%, respectively. The TON project also continued its growth trajectory, increasing TVL by 109% month-on-month and reaching another all-time high of $685.9 million thanks to the success of the Open League. June saw highly anticipated airdrops and token generation events from several well-known projects, including LayerZero, zkSync, Blast and Eigenlayer (Phase 2).

TVL shares of leading blockchains

Source: DeFiLlama (June 30, 2024)   

Non-fungible tokens (NFTs)

Monthly NFT trading volume

Source: Cryptoslam (June 30, 2024)

The NFT market experienced a long-term negative trend in June: total sales amounted to $46 million (26.2% less than in May). DMarket, an in-game item marketplace on Mythos, led the way with the highest monthly sales at $18.9 million. CryptoPunks came in second with $16.1 million. Top Ordinal collections such as Bitcoin Puppets and NodeMonkes saw a sharp drop in sales on 40.6% and 41.0% respectively. Bored Ape Yacht Club experienced a slight decline in monthly sales, while Pudgy Penguins outperformed the market and recorded growth of 68.9%. 

Popular blockchains have seen a significant decline in NFT sales. Bitcoin and Ethereum experienced declines of 48.2% and 50.2%, respectively, indicating a decline in the excitement around Bitcoin NFTs. Solana's monthly sales fell 40.9%, and Blast saw a massive 81.0% drop after ending its airdrop promotion.

Upcoming Events and Token Unlocks

Stay up to date with news from the Web3 world with this roundup of important events for the coming month, compiled by the Binance Research team. Check out upcoming blockchain events below.

Important events in July 2024

Source: Binance Research, CoinMarketCap

Largest USD Token Unlocks

Source: Token Unlocks, Binance Research

Binance Research

The Binance Research team offers objective, independent, and comprehensive analysis of the cryptocurrency world. We publish in-depth content on topics related to Web3, the cryptocurrency ecosystem, blockchain applications, the latest market developments, and many more. This article is just a snippet of the full report, which contains detailed analysis of the most important indicators over the past month. The full report also found that Bitcoin miners now make up a significant portion of net sellers of BTC (especially following the Bitcoin halving in April). In addition, our team examined TON's record performance, BNB gains, and competition in the staking market, where new players Karak and Symbiotic are challenging EigenLayer.

Check out the full Binance Research report here.

Additional materials

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