Bitcoin

<p>The third quarter of 2023 was marked by a significant market downturn and market cap contraction. That’s one of a number of findings in a Q3 crypto industry report compiled by Malaysian cryptocurrency ranking platform CoinGecko.</p><h2 id="header-0">Market cap contraction</h2><p>The company <a href="https://www.coingecko.com/research/publications/2023-q3-crypto-report" rel="noopener noreferrer nofollow">released</a> its latest research on Tuesday. In mid-August, Bitcoin (BTC) witnessed a sudden drop from approximately $29,000 to around $26,000, leading to a dip in the total cryptocurrency market capitalization from $1.2 trillion to $1.1 trillion.</p><p>The total crypto market capitalization recorded a nearly 10% decline, amounting to a drop of $119.1 billion. Since reaching its local peak on April 17, the total market capitalization has experienced a decline of 16.3%.</p><p>Notable shifts in the top 30 cryptocurrencies include Solana (SOL) climbing to #7, TrueUSD (TUSD) rising to #19, Litecoin (LTC) falling to #14, Avalanche (AVAX) dropping to #22, and Binance USD (BUSD) sliding to #27.</p><h2 id="header-1">Stablecoin shrinkage</h2><p>The top 15 stablecoins saw a 3.8% decrease in market capitalization during Q3 2023, reaching $121.3 billion. Tether (USDT) maintained its market cap during this period. USD Coin (USDC) experienced the largest absolute loss at -$2.26 billion (-8.3%), while Binance USD (BUSD) faced the most significant percentage decline of -45.3%, amounting to a drop of -$1.87 billion. TrueUSD (TUSD) was the sole gainer among the top 5, with a 12.8% increase in market cap.</p><h2 id="header-2">NFT trading volume cut in half</h2><p>Trading volume for NFTs declined by 55.6%, dropping from $3.67 billion in Q2 to $1.63 billion in Q3. Ethereum maintained its dominance, accounting for 83.2% of the NFT market during Q3. ImmutableX NFTs, driven by trading card game Gods Unchained, experienced a strong Q3, with a market share increase from 2.1% in Q2 to 3.9% in Q3.</p><h2 id="header-3">Continued growth for RWAs</h2><p>The Real World Asset (RWA) sector has continued to grow in 2023, with tokenized US treasury bills gaining popularity. The market cap for these tokenized T-bills increased from $114.0 million in January 2023 to $665.0 million by the end of September, marking a 5.84x gain. Traditional financial institutions led the way, with American asset manager Franklin Templeton controlling almost half of the overall market share, followed by Ondo Finance at 27%. Ethereum held 49% of the market cap share, while Stellar followed closely behind with 48%.</p><h2 id="header-4">Spot DEX and CEX trading volume down</h2><p>In Q3, spot trading volume on the top 10 decentralized exchanges (DEX) totaled $105 billion, a 31.2% drop from Q2. THORchain experienced a significant gain in volume, though this was partially attributed to illicit transfers.</p><p>Spot trading volume on the top 10 centralized crypto exchanges (CEX) amounted to $1.12 trillion, a decrease of 20.1% compared to Q2. Binance’s market share dropped to 44%, facing regulatory pressures and significant executive departures. Among the Asian exchange platforms, HTX, previously known as Huobi, secured the third spot with an 8% market share. Only Upbit and Bybit saw gains, while Kucoin was edged out of the top 10.</p><p>While Q3 may not have been the most positive industry quarter recently, things are looking a lot more promising as Q4 develops, with Singapore-based digital assets financial services platform Matrixport <a href="https://t.me/matrixportupdates/772" rel="noopener noreferrer nofollow">predicting</a> a bitcoin unit price of $45,000 by year end.</p>

CoinGecko Report Points to Q3 Market Contraction

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