Binance's Q3 Market Pulse report highlights the challenges that cryptocurrencies faced in the past quarter. The global cryptocurrency market saw a decline of 8.6% quarter-on-quarter. Despite this, the entry of institutional players such as Deutsche Bank, Sony, and PayPal helped mitigate some of the market's difficulties. The report suggests that the prevalent "long-term higher" interest rate narrative will continue.
Quarterly financing volume also witnessed a decline, reaching its lowest level since Q4 2020, with a 21.4% decrease. Notably, the infrastructure sector outperformed other industries in this regard. Blockchain activity, except for Near, experienced a slight decline. Near, on the other hand, saw an impressive 120% increase in activity and active addresses, especially since August. BNB Chain, Ethereum, and Solana experienced varying levels of activity, with BNB Chain witnessing a notable drop.
Decentralized finance's (DeFi) total value locked (TVL) dropped by 13.1%. However, the TVL for liquid staking grew by 10.5%. Ethereum maintained its lead among blockchains, commanding 55.1% of the TVL, despite an 18.6% decrease. Tron's TVL increased by 17.9% month-on-month. In the stablecoin market, Tether remained dominant, holding 67.2% of the market share.
Non-fungible token (NFT) sales experienced a decline, with September being the worst month for NFT sales since January 2021, totaling around $300 million. The average sales price in September was $38.17, marking a significant decrease from the high of $791.84 in August 2021. Despite the slump in September, overall NFT trading activity has risen. Gaming tokens led NFT sales, but they also witnessed price losses, declining by 44.9% month-on-month. Interestingly, less than 28% of Web3 games are currently live. Binance predicts that Google's decision to allow NFTs in games on its Play Store could inject new momentum into the NFT market.
When considering the performance of the top 10 coins for the year, six of them have seen gains. Solana's SOL token outshone the rest, surging by 113.73%. In contrast, TON made its debut on the list with a 3.11% decline. Bitcoin has risen by 63.05% year-to-date, while Ethereum has gained 39.9%. However, BNB (Binance Coin) fell by 12.77% by the end of Q3 2023.
