Binance Research Institute: A comprehensive interpretation of the market performance of the five key tracks in the third quarter

PANews

特邀专栏作者

2022-10-24 11:00

This article is about 5615 words, reading the full article takes about 9 minutes

In the third quarter, the market value of cryptocurrencies increased by 8.4% month-on-month, but the overall market sentiment is still not good.

Original source:Binance Reseach

Original compilation: PANews

Original source:

Original compilation: PANews
MarketPlus is a research report on the state of the encryption market launched by Binance Research. In the third quarter, the report involved several key vertical fields including the overview of the encryption market, DeFi, NFT, and GameFi. The key data are as follows.
Encrypted market overview: In the third quarter, the market value of encrypted currencies increased by 8.4% month-on-month, but the overall market sentiment is still not good.
Layer 1: Blockchain activity generally declined in the third quarter, but the Ethereum merger in September has aroused widespread concern in the market.
DeFi: Following a sharp drop in May, DeFi Total Value Locked (“TVL”) has yet to recover, largely hovering in the $50-60 billion range in Q3.

GameFi: The game field is led by BNB Chain, Ethereum, and Polygon, with a market share of nearly 70% (calculated by the number of games).

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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1. Encryption market overview
According to data from Coinmarketcap and Binance Research as of September 30, 2022, the market value of cryptocurrencies increased slightly in the third quarter, with a quarter-on-quarter increase of 8.4%.

Still, given the uncertain macro environment and general risk aversion, cryptocurrencies are unlikely to come out of the downturn, with the market value of cryptocurrencies falling 5.0% in September.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Crypto Fear and Greed Index
The Crypto Fear and Greed Index edged higher and remains in a state of "extreme fear." Crypto Fear and Greed rose 10 points in Q3.

However, the Crypto Fear and Greed Index for the third quarter showed a slight improvement in market sentiment (21 at the end of September compared to 11 at the end of June).

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Crypto Unicorn Index
In the third quarter, the number of cryptocurrencies with a market value of more than $1 billion decreased, down 19.4% from the previous quarter.

The number of cryptocurrencies with a market cap of more than $1 billion at the beginning of the year was 118.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Cryptocurrency performance with the highest market capitalization
For the whole of 2021 and so far in 2022, the top three currencies by market capitalization have not changed, namely: Bitcoin, Ethereum and BNB.

XRP, BNB and BTC saw the lowest declines among the top 10 cryptocurrencies by market capitalization.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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cryptocurrency market share
Bitcoin’s market dominance fell while Ethereum, BNB, and XRP gained market share.
Bitcoin’s market share fell by 3% in the third quarter.

BTC’s market dominance has declined since its year-to-date peak in June (since the Terra crash) as other Layer 1 market shares have increased.

The market share that showed a significant increase in the third quarter was ETH, which increased its market share by about 3%, which may be due to the increased investor interest in ETH due to the merger.

Two, Layer1

According to data from Etherscan, Bscscan, Snowtrace, Solscan, and Binance Research as of September 30, 2022, Solana had the strongest quarterly performance in terms of blockchain monthly transaction volume.

Binance Research Institute: Review the market status of the five key tracks in the third quarter
Quarter-to-quarter changes: SOL (+58%), Ethereum (+6%), BNB (-26%), AVAX (-65%).

Among the entire sampled blockchains, Solana saw the highest increase in transaction volume in the third quarter, as its on-chain activity returned to normal after a significant decline in the second quarter.

Transaction activity on the Avalanche chain continued to decline, falling 65% quarter-on-quarter in the third quarter.

Binance Research Institute: Review the market status of the five key tracks in the third quarter
The average daily active address data of the blockchain generally showed a downward trend in the third quarter, but Ethereum bucked the trend.

The average daily active addresses of BNB Chain, Solana, and Avalanche at the end of the third quarter changed by -33%, -1%, and -23%, respectively.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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twitter follower
According to SocialBlade data as of September 30, 2022, the number of Twitter fans following the cryptocurrency industry has grown across the board in the third quarter, with the number of fans of the @ethereum account growing the most.

@ethereum has the largest number of Twitter followers (about 2.8 million), but the @solana account has the strongest follower growth in the third quarter (+16% QoQ).

The indicator of the number of Twitter fans is used to measure the growth trend of the community (note: the data only includes official blockchain accounts, excluding dApps).

Binance Research Institute: Review the market status of the five key tracks in the third quarter
The grayscale Bitcoin Trust (“GBTC”) premium, the GBTC discount range continued to expand, and the net asset value fell by 36.2%.

In order to avoid the impact of the discount, Grayscale is applying to convert GBTC into an exchange-traded fund (“ETF”), but was rejected by regulators in June this year.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Exchange Bitcoin Balances and Prices
The balance and price of Bitcoin on exchanges fluctuated in a range in the third quarter.

Bitcoin has been unable to break out of its price range due to a lack of market momentum to push prices higher in recent months.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Ethereum transaction fees
According to data from Etherscan and Binance Research as of September 30, 2022, as the activity on the Ethereum chain decreased, the average transaction fee decreased by 79.1% quarter-on-quarter.

A drop in on-chain transaction fees indicates less activity on Ethereum and lower demand for block space. The average gas price in Q3 was around 21 gwei, compared to ~59 gwei in Q2.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Staking data on the Ethereum chain
According to data from Dune Analytics and Binance Research as of September 30, 2022, about 11.7% of the circulating ETH is currently pledged, with a total of about 14.1 million.

ETH staking yield is currently around 4+%.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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BNB chain average transaction fee
According to data from BSCscan and Binance Research as of September 30, 2022, the average transaction fee on the BNB chain in the third quarter was approximately $0.25, a decrease of 16%.

The decline may be due to lower network activity in the third quarter.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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The lock-up amount of the head dApp on the BNB chain
According to data from DefiLlama and Binance Research as of October 10, 2022, DEX and lending applications on the BNB chain are still the largest top dApps.

Newcomers to the top 10 dApps (Q3 vs. Q2) are PinkSale, Wombat Exchange, Ankr, and Helio Protocol.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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3. DeFi

According to data from Defillama and Binance Research as of October 12, 2022, the DeFi market has yet to recover after a sharp drop in May, and the total locked positions of DeFi in the third quarter remained in the range of US$50-60 billion.
Binance Research Institute: Review the market status of the five key tracks in the third quarter

Regulatory uncertainty and frequent exploits continue to weigh on overall market sentiment.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Divide Layer 1 market share by locked amount
The market share of BNB Chain and Tron grew, but Avalanche fell.

It should be noted that there are significant differences in the number of protocols of different Layer1s. There are more than 450 protocols on the Ethereum and BNB Chains, while there are only 10 protocols on the Tron chain.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Distinguish top DeFidApps by lockup amount
The top ten DeFidApps did not change much in the third quarter, MakerDAO maintained its lead, and Lido performed well after the merger of Ethereum.

Although Ethereum-based MakerDAO continues to maintain its leading position, the top five DeFi dApps have basically chosen to operate on multiple chains.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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DEX/CEX trading volume
According to data from TheBlock and Binance Research as of September 30, 2022, the trading volume of DEX/CEX in the third quarter decreased by about 37% month-on-month.

Regulatory uncertainty continues to be an obstacle to DeFi adoption, which means more regulatory-compliant CEXs are able to gain market share.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Stablecoin Market Share
The market share of BUSD and USDT increased, while USDC decreased.

Tether recently announced that it has completely removed commercial paper from its reserves, switching to U.S. Treasury bonds to back its stablecoin.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Total funds lost/recovered
According to data from DefiYield and Binance Research as of October 12, 2022, DeFi vulnerabilities occurred frequently in the third quarter, and DeFi hacks and scams resulted in a monthly loss of $155 million in funds in the third quarter.

By 2022, the average monthly loss is about 380 million US dollars (excluding May, when the Terra incident broke out).

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Funds lost on the blockchain
The Solana (Wormhole), Ronin, and Terra blockchains have all seen massive hacks this year.

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4. NFT

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Total NFT sales
According to data from CryptoSlam and BinanceResearch as of September 30, 2022, with the decline in cryptocurrency prices, NFT sales in the third quarter suffered from Waterloo, down 73% from the previous quarter.

Affected by the slump in the encryption market in June, the NFT trading volume in the third quarter fell sharply compared with the first and second quarters.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Number of Unique Buyers
According to the data from CryptoSlam and Binance Research as of September 30, 2022, despite market turbulence and a harsh environment, the number of buyers seems to have rebounded, and the number of buyers in the third quarter has rebounded to a certain extent.

The number of unique buyers has picked up slightly since the end of the second quarter.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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NFT Sales on Major Blockchains
According to data from CryptoSlam and Binance Research as of September 30, 2022, Ethereum is still in the leading position, but Solana has the fastest growth in the third quarter, increasing its market share by 13%.

Solana continues to hit the ground running in terms of NFT sales.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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According to data from CryptoSlam and Binance Research as of September 30, 2022, although the NFT trading volume from July to September slowed down, the trading volume picked up again in September. The number of transactions has increased, while the increase in transaction volume has revived market confidence.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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NFT-500 Price Index
According to data from Nansen and Binance Research as of September 30, 2022, the third quarter was very difficult for the entire encryption market. Not only cryptocurrencies, but NFT prices are also very unstable. The NFT-500 index fell by 27.9% month-on-month. (Note: Nansen NFT-500 is an NFT market index to track NFT market activities on the Ethereum blockchain.)

The decline in NFT prices is closely tied to the overall decrease in activity in the space.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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NFT Market Share by Category
According to data from Nansen and Binance Research as of September 30, 2022, social NFT dominates the NFT market (note: social NFT includes types such as PFP pictures, access rights and membership, utilities, etc.).

Are game NFTs a thing of the past? The continued decline has us wondering what the future of gaming NFTs will look like?

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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NFT market share
According to the data of Footprint Analytics and Binance Research as of September 30, 2022, the NFT market leadership has undergone slow and steady changes. OpenSea is still the leading NFT trading platform, but how long can this state last?

The Solana NFT market is on the rise, and Magic Eden is not far behind.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

NFT aggregator and direct connection service provider

Aggregators are a hot topic in the NFT market in the first half of 2022, but have not gained much attention since then. In contrast, the direct-to-NFT market has been focused on launching new features and innovations, and in this case, the market share of NFT aggregation service providers has barely increased.

5. GameFi

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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The blockchain chosen by Lianyou
According to data from PlaytoEarn.net and BinanceResearch as of September 30, 2022, the chain game industry is mainly led by BNB Chain, Ethereum, and Polygon.

The number of games built on the BNB Chain is the largest.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Chain game development status
According to data from PlaytoEarn.net and Binance Research as of September 30, 2022, GameFi is still in its early stages.

Only a small percentage of projects have been canceled and many more are in development, beta or alpha stages.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Equipment type
According to data from PlaytoEarn.net and BinanceResearch as of September 30, 2022, players are more willing to choose online games and mobile games.
At this stage, online games and mobile games are beginning to compete head-on.

Console gaming has clearly lagged behind.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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game type
The current action games are in the leading position.

The number of educational games and escape games is lagging behind.

Binance Research Institute: Review the market status of the five key tracks in the third quarter

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Top 5 games by active users in the past 30 days
According to data from Dappradar.com and Binance Research as of September 30, 2022, "play and earn" P2E games are leading the trend.

"Play and earn" P2E games, despite their controversies, are still very popular.