Binance Research: Key Trends in Crypto – November 2024

Main Takeaways

This blog summarizes the findings of the recent Binance Research report discussing key developments in crypto markets over the past month.

• In October 2024, the cryptocurrency market rose by 2.8%, with BTC nearing record highs, fueled by a $5.4 billion spot ETF inflow.
• Positive sentiment was further supported by strong U.S. job data, while anticipation of potential regulatory shifts from the U.S. presidential election added to the market's optimism.

Thanks to Binance Research, you can take advantage of industry-grade analyses of the processes shaping Web3. By sharing these insights, we hope to empower our community with the latest knowledge from the field of crypto research.

This blog explores key Web3 developments in October 2024 to provide an overview of the ecosystems current state. We analyze the performance of crypto, DeFi, and NFT markets before previewing major events to look out for in November 2024.

Crypto Market Performance in October 2024

In October 2024, the cryptocurrency market grew by 2.8%, showing resilience despite external pressures. BTC reached near-record highs, buoyed by a $5.4 billion inflow from spot ETFs. Positive market sentiment was further boosted by strong U.S. job data in September, with robust nonfarm payroll growth and a drop in unemployment. The market is also anticipating potential regulatory changes linked to the U.S. presidential election on Nov 5. However, challenges emerged from the Israel-Iran conflict and an investigation into Tether's alleged involvement in illegal funding activities.

Monthly crypto market capitalization increased by 2.8% in October

Source: CoinGecko, as of October 31, 2024

Monthly price performance of the top 10 coins by market capitalization

Source: CoinMarketCap, as of October 31, 2024

In October, DOGE led the cryptocurrency market with a 33.1% surge after Elon Musk referenced the “Department of Government Efficiency” (D.O.G.E) at a rally. Solana (SOL) also performed well, gaining 9.7% as memecoin trading thrived on the platform, boosted by new AI-driven meme tokens. This surge in activity attracted significant liquidity into Solana's DeFi ecosystem, particularly in liquid staking, DEXes, and lending. BTC gained 7.4%, spurred by $5.5 billion in ETF inflows and growing institutional interest, with the U.S. election stoking optimism for regulatory shifts. Corporate actions, like MicroStrategys holdings and a Microsoft vote on BTC investments, added to BTC's bullish momentum.

Meanwhile, other major cryptocurrencies saw mixed results. TRX gained 7.5%, and BNB experienced a slight decline of 2.9% ahead of the upcoming Beacon Chain sunset upgrade. ETH dropped 3.7%, struggling with concerns over fee capture as independent appchains grew. SHIB and ADA also declined, with ADA facing a steep 12.8% drop. TON fell 16.9% as hype around tap-to-earn projects faded, and recent Telegram policy changes further fueled privacy concerns following CEO Pavel Durovs legal troubles. XRP plummeted 20.4% amid its ongoing SEC lawsuit, as the appeal against a favorable ruling raised uncertainty and dampened investor sentiment.

Decentralized Finance (DeFi)

In September, DeFi‘s Total Value Locked (TVL) rose by 1.0%, building on October's momentum with Solana, Base, and Aptos leading the growth. Solana saw a 13.4% TVL increase, reaching $7.6 billion in DeFi TVL, driven by strong institutional and retail interest. Liquid staking protocols like Jito, Marinade, and Sanctum received substantial inflows, while key liquidity providers Jupiter and Raydium supported increased on-chain volumes. The private credit sector also grew, with Maple Finance and Credix experiencing significant TVL growth of 366.2% and 168.0%, respectively, highlighting Solana’s expanding DeFi ecosystem.

Base reached an all-time high of $2.7 billion in DeFi TVL, spurred by over 166.5 million monthly transactions and a sharp rise in DEX trading volumes. The native DEX Aerodrome gained 23.8%, capturing 50.9% of Bases DeFi market with $1.4 billion in TVL.

In the lending sector, Morpho Blue saw a 69.8% increase in TVL as it gained traction as a modular lending solution. Aptos also showed strong performance, with its TVL nearing $866.5 million as capital rotated into Move-based chains. Projects like Aries Markets, Amnis Finance, and Thala contributed to this growth, while Echo Protocol, a BTC yield and liquid restaking platform, gained over $152 million, underscoring Aptos DeFi appeal.

TVL share of top blockchains

Source: DeFiLlama, as of October 31, 2024Non-Fungible Tokens (NFTs)

Monthly NFT trading volume

Source: CryptoSlam, as of October 31, 2024

In October, the NFT market rebounded with a 15.8% increase in total sales volume, reaching $350 million – the first monthly gain since March 2024 after a prolonged six-month decline. On Ethereum, top collections had varied performances: CryptoPunks sales volume dropped by 39.8%, while Bored Ape Yacht Club and Pudgy Penguins rose by 42.5% and 22.7%, respectively. Meme collections saw remarkable volume gains, with Milady Maker up 144.1%, Project AEON surging by 1667.4%, and Sproto Gremlin increasing by 1008.1%. Bitcoin Ordinals also experienced a resurgence, with Bitcoin Puppets up 72.1% and Based Angels soaring 865.2%, despite NodeMonkes falling by 19.2%.

While Bitcoin, Ethereum, and Solana saw overall NFT sales volume decreases of 34.5%, 28.4%, and 23.7%, respectively, other blockchains like Mythos, Algorand, and Fantom posted notable increases. Mythos gained 136.0%, Algorand surged 335.1%, and Fantom rose by 195.5%, indicating renewed interest in NFTs across these networks. This increase suggests a potential revival in the NFT market, aligning with broader positive sentiment in the crypto sector.

Upcoming Events and Token Unlocks

To help users stay updated on the latest Web3 news, the Binance Research team has summarized notable events and token unlocks for the month to come. Keep an eye on these upcoming developments in the blockchain space.

Notable Events in November 2024

Source: Binance Research, Itez

Largest token unlocks in US$ terms

Source: CryptoRank, Binance ResearchBinance Research

The Binance Research team is committed to delivering objective, independent, and comprehensive analyses of the crypto space. We publish insightful takes on Web3 topics, including but not limited to the crypto ecosystem, blockchain applications, and the latest market developments.

This article is only a snapshot of the full report, which contains further analyses of the most important charts from the past month. The full report also discusses Bitcoin‘s correlation with S&P500 that is nearing all-time highs, the rising revenues earned by on-chain applications, Solana’s new token launches and an analysis into Memecoins strong activities in October 2024.

Read the full version of this Binance Research report here.

Further Reading

• Binance Research: Key Trends in Crypto – October 2024
• Binance Research: Key Trends in Crypto – September 2024
• Understanding the Rise of Memecoins

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