Within the fourth quarter of 2023, the crypto market skilled a surge in anticipation associated to ETFs, significantly with the rising optimism surrounding the potential approval of US spot Bitcoin ETFs. This optimism contributed to a bullish market sentiment, resulting in a major enhance within the whole crypto market cap from $1.1 trillion to $1.6 trillion, marking a 55% rise. Throughout this era, the price of Bitcoin soared from $27,000 to $42,000.
When contemplating the whole yr of 2023, the crypto market witnessed substantial development, greater than doubling its whole market cap from $832 billion initially of the yr. This exceptional growth was primarily pushed by Bitcoin’s spectacular resurgence, experiencing a 2.6x enhance. After the challenges and stagnation skilled in 2022, 2023 proved to be a strong yr of restoration for the crypto business.
Our complete 2023 Crypto Trade Report covers every part from the crypto market panorama to analyzing Bitcoin and Ethereum, deep diving into the decentralized finance (DeFi) and non-fungible token (NFT) ecosystems, and reviewing how centralized exchanges (CEX) and decentralized exchanges (DEX) have carried out.
We’ve summarized the important thing highlights, however you should definitely dig into the complete 52 slides beneath.
Prime 6 Highlights of CoinGecko’s 2023 Crypto Trade Report
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Whole crypto market capitalization rose +108.1% in 2023, from $829B to $1.72T
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Bitcoin grew +155.2% in 2023, with rising confidence in an ETF approval
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Ethereum rose +90.5% in 2023, although outpaced by Bitcoin
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Solana recorded a meteoric rise of +917.3% in 2023, with a resurgence in bullish narratives
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NFT Trading Quantity Stood at $11.8b in 2023, 44% of 2022’s Figures
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Crypto buying and selling quantity hit $10.3T 2023 This autumn, rising +53.1%
1. Whole Crypto Market Capitalization Rose +108.1% in 2023, From $829B to $1.72T
The entire crypto market cap climbed by +108.1% in 2023, or $869.0 billion in absolute phrases.
As for buying and selling quantity, it climbed all year long, with 2023 This autumn common day by day buying and selling quantity at $75.1 billion, a +91.9% QoQ enhance. General day by day buying and selling quantity stood at $58.9 billion, which remains to be -31.6% beneath 2022 figures.
Notable strikes inside the high 30 cryptos in 2023 This autumn embrace Solana (SOL) climbing from #7 to #5, and Avalanche (AVAX) from #22 to #9. Solana managed to climb 13 locations in 2023 alone, having began the yr within the #18 spot. New entrants to the highest 30 embrace Web Laptop (ICP) at #16, Close to Protocol (NEAR) at #23, Optimism (OP) at #26, and Injective Protocol (INJ) at #30. Hedera (HBAR), Binance USD (BUSD), Monero (XMR), and True USD (TUSD) slipped out.
2. Bitcoin Grew +155.2% in 2023, With Rising Confidence in an ETF Approval
Bitcoin (BTC) climbed considerably by +155.2% in 2023. In 2023 This autumn alone, BTC rose +64.3%, from $26,918 to $42,220. Throughout this era, BTC hit a yearly excessive of $44,004, ranges not seen since April 2022.
BTC had a powerful first leg up in Q1, rising +72.4%, adopted by one other spike in Q2. It then pulled again in Q3, dropping -11.5%, earlier than rallying in This autumn. Equally, the common buying and selling quantity of BTC dropped off across the finish of Q1 and regularly declined in Q2 and Q3. It then picked up in This autumn to $18.0 billion, a achieve of +64.3% QoQ.
3. Ethereum Rose +90.5% in 2023, Although Outpaced by Bitcoin
Ethereum (ETH) closed 2023 at $2,294, representing a achieve of +90.5% within the yr. ETH had its highest returns in 2023 Q1, rising +49.8% from $1,196 to $1,792. It then consolidated for probably the most half in Q2, and Q3 earlier than rallying +36.4% in This autumn. ETH hit a yearly excessive of $2,376 in December.
Regardless of the implementation of the Shanghai Improve in April, which allowed the withdrawal of staked ETH, there have been no vital price actions throughout that interval. Common day by day buying and selling quantity stayed comparatively flat in 2023, besides in This autumn, the place it picked up from $7.2 billion to $14.4 billion, a achieve of +100.0%.
4. Solana Recorded a Meteoric Rise of +917.3% in 2023, With a Resurgence in Bullish Narratives
Solana (SOL) climbed +917.3% in 2023, from $10.0 to $101.3. SOL had its first leg up in 2023 Q1, climbing +112.9%. Worth motion of SOL in Q2 and Q3 was largely muted, with the FTX chapter property promoting its holdings. It then skilled an aggressive rally in This autumn, hitting a excessive of $121.5.
Common day by day buying and selling quantity additionally spiked in 2023, averaging $827.0 million in Q1, earlier than spiking to $2.0 billion in This autumn. Solana has seen a resurgence in bullish narratives, resembling OPOS (“Only Possible on Solana”), its revival and resilience after FTX’s collapse, and quite a few high-profile airdrops resembling Pyth Community (PYTH), and Jito (JTO).
5. NFT Trading Quantity Stood at $11.8b in 2023, 44% of 2022’s Figures
NFT buying and selling volumes throughout the highest 10 chains amounted to $11.8 billion in 2023. Nonetheless, this determine remains to be lower than half of the NFT buying and selling quantity in 2022, which stood at $26.3 billion.
Trading quantity in 2023 Q1 stood at $4.5 billion, nevertheless it fell dramatically in Q2 and Q3, the place figures stood at $2.7 billion and $1.4 billion, respectively. It then rebounded to $3.2 billion in This autumn, thanks partly to robust Bitcoin Ordinals buying and selling quantity.
Ethereum continued to be the dominant NFT chain in 2023, capturing 72.3% of buying and selling quantity. Nonetheless, this can be a far cry from the 90% dominance it held in 2022. Chains resembling Bitcoin and Solana had been on the come up, significantly in 2023 This autumn. Bitcoin surpassed Ethereum in buying and selling quantity in December, with $808.0 million in buying and selling quantity. This may be attributed to the introduction of Ordinals earlier within the yr.
6. Crypto buying and selling quantity hit $10.3 trillion 2023 This autumn, rising +53.1%
Crypto recorded $36.6 trillion in buying and selling quantity in 2023. In 2023 This autumn, quantity elevated from $6.7 trillion in Q3 to $10.3 trillion, a achieve of +53.1%. This marked the primary quarter-on-quarter development of the yr, attributed to market sentiment swinging bullish in anticipation of Bitcoin ETFs.
Centralized exchanges (CEX’s) dominated buying and selling quantity regardless of the autumn of FTX in 2022, and Binance’s regulatory hurdles all through 2023. CEX : DEX spot ratio stood at 91.4%, whereas CEX : DEX derivatives ratio was 98.1%.
Learn the Report: CoinGecko’s 2023 Annual Crypto Trade Report
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