On-chain data points to crypto consolidation in Q3

A third-quarter industry report from DappRadar citing on-chain metrics suggests cryptocurrency markets are showing signs of recovery from ongoing bearing market conditions.

A number of factors played their part in a busy third quarter of 2022, with Ethereum’s Merge marking a successful shift to proof-of-stake having a notable influence on layer-2 activity before the event. The report also highlights a slight recovery in the overall cryptocurrency market capitalization, which still sits below the $1 trillion mark.

Third-quarter data reflected an 8.5% increase in the total crypto market cap from July to the end of September 2022. The decentralized finance space also showed signs of consolidation, with the total value locked (TVL) in the space increasing by 2.9% in the third quarter to $69 billion. Ethereum continues to account for the bulk of TVL, with $48 billion locked in smart contracts.

DappRadar also highlights a 12% increase in unique active wallets across the cryptocurrency ecosystem quarter-on-quarter, adding up to 1.8 million. The blockchain gaming sector contributed significantly, with unique wallet addresses increasing by 8% from August to September.

ImmutableX saw its unique active wallets grow by 30% during the same time period and recorded an 87% growth in nonfungible tokenNFT trading volume from the previous quarter, while Polygon followed a similar trajectory, seeing its unique active wallets increase by 17% to 148,000.

The number of nonfungible token (NFT) trades increased by 11% from the second quarter of 2022 while Ethereum’s NFT trading volume was down by a large margin of 76%. The NFT trading volume totaled $2.71 billion during the third quarter, which still marks a significant 67% drop from Q2 2022.

Related: Blockchain gamers surge as users attempt ‘stacking crypto’ — DappRadar

Yuga Labs-owned NFT projects dominated the market in September, with Otherside, Bored Ape Yacht Club, Mutant Ape Yacht Club and CryptoPunks accounting for 46.21% of the entire NFT market cap.

The theft of cryptocurrency assets was also highlighted once again, with blockchain bridges still being targeted. DappRadar listed the $190 million Nomad exploit in August as a significant contributor to the $461 million worth of crypto assets stolen in Q3. Algorithmic market maker Wintermute also succumbed to a $160 million exploit during the same period.

The DappRadar report also highlights the effect of wider macroeconomic factors on the global economy. As central banks look to manage inflation to stave off recessionary effects by raising interest rates:

“Current macroeconomic conditions significantly influence the crypto market, making it impossible to foresee a worldwide expansion of cryptocurrencies without a general recovery in conventional financial markets.”

This slightly gloomy outlook was countered by a number of positive events during the third quarter of 2022. The European Union’s approval of the Markets in Crypto-Assets regulatory plan indicates that governments are looking to manage the industry carefully.

Similarly, the White House published the “First-Ever Comprehensive Framework for Responsible Development of Digital Assets” in September 2022 in a bid to protect investors, which indicates that cryptocurrencies have become a fully-established industry.

Related Posts

ConsenSys aclara las preocupaciones sobre la privacidad en MetaMask

The Ultimate Guide to Setting Up MetaMask Wallet Safely in 2025: Access Ethereum DApps with Zero Risk

  In 2025, the decentralized internet is no longer just a concept—it’s a thriving ecosystem of decentralized applications (DApps) running on Ethereum and other blockchains. Whether you’re minting NFTs, yield…

Read more
Bitcoin hardware wallets

Top 7 Ultra-Secure Hardware Wallets for Bitcoin & Ethereum in 2025 (With Prices & Real-User Reviews)

Cryptocurrency security in 2025 is no longer optional—it’s a necessity. With growing threats from phishing attacks, malware, and increasingly sophisticated hackers, securing digital assets like Bitcoin and Ethereum has never…

Read more
pure bitcoin c213ce83f6e48a5c90ab8972e17de710

How to Insure Your Bitcoin Cold Storage: Policy Comparison and Cost

Introduction: The Hidden Risk of Cold Storage When it comes to safeguarding your Bitcoin, cold storage is often hailed as the gold standard. Hardware wallets, paper wallets, and even air-gapped…

Read more
633f77aa e12c 49b0 8f83 909431072a30 1

Best Signal-Provider Platforms for Professional Crypto Day Traders

  In the fast-moving world of cryptocurrency day trading, every second counts. One strong signal can be the difference between a profitable move and a costly error. That’s why professional…

Read more
image 15 1024x852 1

Top 7 Crypto Portfolio Tracker Apps for 2025 (Ranked by Fees, Sync Speed & Tax Reporting Accuracy)

Cryptocurrency investing has matured from a speculative hobby into a full-blown financial strategy. With more tokens, chains, and DeFi projects entering the market daily, managing your crypto portfolio manually just…

Read more
AdobeStock 193582713 e1651154504351

Why Every Crypto Investor Needs a Mobile Wallet with Fingerprint or Face ID – Top Picks for 2025

  The rise of digital assets has revolutionized the financial landscape, giving birth to a decentralized economy that’s open 24/7, borderless, and continuously evolving. As this revolution marches forward into…

Read more

Leave a Reply

Your email address will not be published. Required fields are marked *