James Ding
Aug 01, 2024 14:53
Binance Analysis reveals key insights from H1 2024, displaying a 44% rise in crypto market cap and notable performances from Bitcoin and Ether.
The primary half of 2024 has been a exceptional interval for the cryptocurrency market, marked by substantial progress and important developments. In keeping with Binance Analysis, the entire crypto market capitalization has surged by roughly 44% year-to-date, including over $720 billion. On a year-on-year foundation, the market cap has elevated by greater than 104%, which equates to an addition of over $1.2 trillion since July of the earlier yr.
Bitcoin’s Dominance and Market Efficiency
Bitcoin (BTC) has had an eventful yr, pushed by the approval of the U.S. spot ETF in January, the fourth Halving occasion, and the launch of Runes in April. This has led to elevated exercise in Bitcoin’s scalability and decentralized finance (DeFi) sectors. Consequently, Bitcoin’s market dominance has grown from round 50% to over 55% this yr.
Compared to conventional monetary investments, Bitcoin and Ethereum (ETH) have outperformed notable shares similar to Alphabet, Amazon, and Apple. Whereas main inventory indices just like the Hold Seng Index and FTSE 100 have proven single-digit returns, Bitcoin and Ether have considerably led the best way when it comes to efficiency.
ETFs and Stablecoin Provide
The introduction of U.S. spot Bitcoin ETFs has been exceptionally well-received, attracting over $17 billion in web inflows and averaging $2.5 billion in each day buying and selling quantity. The latest launch of U.S. spot Ether ETFs has additional boosted the trade, including legitimacy from a conventional finance perspective.
Stablecoin provide, an indicator of potential shopping for stress, has reached its highest stage since Could 2022, standing at roughly $165 billion. This determine is quick approaching the all-time excessive of round $188 billion.
Ethereum’s Restaking and Solana’s DEX Exercise
Restaking has emerged as a dominant narrative for Ethereum in 2024, attracting over $18 billion in Complete Worth Locked (TVL). Whereas EigenLayer leads this house, new opponents like Karak and Symbiotic are additionally making their mark.
Solana’s decentralized alternate (DEX) exercise has reached new all-time highs, each when it comes to quantity and weekly merchants. The chain’s recognition, pushed by memecoins and its comparatively low charges, has considerably contributed to this surge.
Rise of Prediction Markets and Tether’s Dominance
Prediction markets have skilled a 212% enhance in TVL because the starting of the yr, surpassing $108 million for the primary time. Polymarket has been notably dominant, controlling about 75% of the market and seeing a 500% enhance in month-to-month quantity from January to July.
Tether stays a frontrunner within the stablecoin house, benefiting from the high-interest-rate surroundings and elevated adoption. The corporate has develop into extra worthwhile than main Wall Avenue funding banks like Morgan Stanley and Goldman Sachs.
NFT Market and Memecoin Efficiency
The NFT market has seen a downturn, with gross sales volumes down over 70% since their peak in 2021. Profile-picture NFTs (PFPs) have been notably affected, with even CryptoPunks experiencing a greater than 50% decline in ground value this yr. Nevertheless, Pudgy Penguins has made some headway with the success of their bodily plush toys and upcoming consumer-focused Layer 2 resolution, Summary.
Memecoins have been the best-performing phase this yr, delivering returns of over 280%. The attraction of memecoins is partly resulting from their construction, the place 100% of tokens are generally unlocked and circulating, with minimal enterprise capital involvement. This has elevated their attractiveness as consciousness of serious token unlocks grows.
For detailed insights and a complete overview of the highest 10 charts from H1 2024, check with the total report by Binance Analysis.
Picture supply: Shutterstock
