On Thursday, the crypto asset aggregation portal Coingecko published the firm’s 2021 third-quarter report which shows a number of different findings. According to the study, for the most part, the crypto economy recovered from the market downturn in May as the top 30 market caps grew by 31% in Q3. The report shows that altcoins continue to decouple (specifically those from alternative chains) and the leading stablecoin tether has been losing its share “as the preferred stablecoin.”
2021 Q3 Cryptocurrency Report Observes the Crypto Landscape and Bitcoin’s Third-Quarter Market Performance
This week Coingecko’s analysts and founders’ Bobby Ong and TM Lee published the firm’s 2021 Q3 Cryptocurrency Report which observes the crypto economy’s third quarter. The study delves into a myriad of subjects including decentralized finance (defi), non-fungible token (NFT) assets, and Q3 crypto market performances. In the founder’s note section of the report, Ong and Lee explain that “NFTs are redefining value and culture.”
“NFTs are here to stay and have proven themselves to be the gateway drug for mainstream adoption. We have been big fans of NFTs since learning about them in 2016,” the Coingecko founders detail.
Furthermore, the report discusses bitcoin (BTC) at great length and notes that the leading crypto asset saw an increased Q3 price return of around 25%. “Bitcoin ended Q3 2021 at $43,859, a 25% increase quarter-on-quarter and had consolidated since its retracement from Q3’s peak,” the report details. However, at the same time, the Coingecko research finds there was an increase in altcoin dominance.
“Altcoins’ dominance [continued] to outperform Bitcoin’s which declined by as much as 4.5%, signifying the growing sentiment that altcoins are decoupling from Bitcoin. The exceptions, however, are Cardano and Tether. Tether marked the biggest decline with a 15.7% drop,” the researchers add. Stablecoins that increased in dominance include USDC, BUSD, DAI, and UST.
Strong Hashrate Recovery, Bitcoin Outperforms Traditional Assets and Indices
The 40-page report explains that the BTC hashrate increased 54% in the third quarter and the research emphasizes the bitcoin mining crackdown that took place in China. “The strong hashrate recovery may be linked to the great miner migration from China to the rest of the world,” Coingecko’s report details.
The report coincides with new data from Cambridge University’s Bitcoin Electricity Consumption Index (CBECI) project, which shows that a great number of mining operations now reside in the U.S. During the third quarter, Coingecko researchers note that bitcoin (BTC) has “climbed 25% and outperformed all other major asset classes.” “All major asset classes and indices performed worse in Q3 2021 relative to Q3 2020 except for DXY and the Nasdaq index,” the study’s researchers noted.
The research dives into other metrics as well, and in Q3 2021, public companies controlled around 1.11% of the entire BTC supply. Additionally, the report notes that BTC’s market valuation is 13.5X away from surpassing gold’s overall market capitalization.
Since Coingecko’s Q3 2021 report was published, bitcoin (BTC) has increased a great deal in value. For instance, the day before the report was published BTC was swapping for $54,887 per unit and today the crypto asset is exchanging hands for above $61.2K per BTC. That’s an increase of 11.59% during the last two days.
What do you think about Coingecko’s 2021 third quarter crypto-asset report? Let us know what you think about this subject in the comments section below.
Image Credits: Shutterstock, Pixabay, Wiki Commons, Coingecko,
This post first appeared on: Bitcoin.com