Quarterly Overview of the Cryptocurrency Market – Q3 / 2022

The summer months are historically considered quieter and usually a bit duller in the cryptocurrency market. Nevertheless, during the last three months, several important events have taken place in the crypto market that significantly influenced the behaviour and mindset of investors in the market. You can read about everything in our third-quarter report on the world of cryptocurrencies.

In the full report, you will find the following:

• The summer months were marked by lower volatility in the cryptocurrency market. Bitcoin rose by 0.4 % in the third quarter, while Ethereum rose by 25 %.
  
  
• The Ethereum network has successfully migrated to the Proof-of-Stake consensus algorithm. It should bring lower energy consumption to the network, as well as set the stage for further scalability upgrades not possible under proof-of-work.
  
  
• Tesla sold 75% of its bitcoin reserves. The reason for the sale was said to be financial uncertainty related to the blockade of the Shanghai manufacturing plant due to the COVID-19 pandemic, as well as production problems at other plants.
  
  
• Meta has decided to expand in the field of non-fungible tokens (NFTS) and has integrated them into its social network Instagram. Sharing digital art has never been easier.
  
  
• Crypto projects achieved record funding. They raised more than they did in the entire calendar year of 2021.
  
  
• Huntingdon Valley Bank was the first regulated bank in the U.S. to take out a loan through the decentralised protocol Maker. 
  
  
• The Japanese government was the first in the world to issue its own NFT.
  
  
• Fumbi has introduced a new product called Fumbi Staking Portfolio. In it, you can find up to 10 cryptocurrencies operating on the Proof-of-Stake consensus algorithm that can generate you a 5-7% annual reward in cryptocurrencies.
  
  
• We have created the Fumbi Employee Program product in which employers in companies in Slovakia can give a unique benefit to their employees – pay them part of their salary automatically in the form of cryptocurrencies to their own secured Fumbi account.

Read everything important about the development of individual cryptocurrencies, events that moved the world, or interesting projects in our latest quarterly report on the world of cryptocurrencies.

DOWNLOAD THE REPORT

Bitcoin Price Action

The summer months in the crypto market were marked by lower volatility than is usually seen in other quarters. The price of Bitcoin has mostly oscillated between $18,000 and $25,000 during these months. Bitcoin opened the third quarter at $19,366 and closed it at $19,444 with a gain of 0.4%. Bitcoin reached its three-month low on 21 September, trading at $18,157. Bitcoin reached its three-month high on 15 August, trading at $25,200.

Top 10 Altcoins Price Actions

Among the top 10 altcoins (stablecoins excluded), Polygon (MATIC) was the best-performing cryptocurrency during the past quarter, rising by 63% over three months. Cryptocurrencies Ethereum and BNB also performed well, rising by 25% and 30%, respectively. The worst performer among the altcoins was the meme cryptocurrency Dogecoin, which fell by 8.42%. Overall, six of the top 10 altcoins were in profit in the third quarter.

Total Market Capitalisation

The cryptocurrency market capitalisation was $889 billion at the beginning of the third quarter. The market cap temporarily rose above the psychologically important $1 billion mark, but it declined again in the second half of September. Over the past three months, the market has risen by 5.96%, and the total market cap has climbed to $942 billion as of 31 September.

You can find the development of Bitcoin dominance in the full report. You can download it here.

Ethereum Transition to Proof-of-Stake

On Wednesday, 15 September 2022, the long-awaited transition of the Ethereum network from the consensus algorithm Proof-of-Work to a new model called Proof-of-Stake successfully took place. The Merge is Ethereum’s most significant milestone, modifying the way consensus is achieved in the Ethereum network.

The new consensus model eliminates the need for energy-intensive mining and instead secures the network using staked ETH coins. Thus, the Ethereum network now does not have to rely on miners and their mining machines to validate transactions and produce new blocks, but it does rely on validators. Eliminating miners in the network should reduce the network’s energy consumption by up to 99.9%, making Ethereum an environmentally friendly blockchain. In addition, this update sets the stage for future updates aimed at improving Ethereum’s scalability.

Other important events from the world of crypto can be found in the full report.

Record Funding for Crypto Companies

A research report from analyst firm Messari, created in cooperation with fundraising database Dove Metrics, revealed record funding for crypto projects in the year’s first half. According to the report, projects stemming from the cryptocurrency sector reached funding of up to $30.3 billion in the year’s first half. This is a truly remarkable figure, as in the entire year of 2021, when a huge number of new players were entering the cryptocurrency sector, and asset prices were rising to gigantic values, crypto projects managed to raise only $19 billion cumulatively.

The full report from the third quarter also focuses on other events connecting the traditional financial world with the cryptocurrency one. Among them, you will find information about the largest asset manager in the world, BlackRock, launching its own Bitcoin Trust, about inflation or the parity between the euro and the dollar.

Download it here.

In the report, we also addressed on-chain data, the development of the Fear & Greed Index, DeFi, and the development of stablecoin capitalisation. Are you interested in how the NFT market and metaverse are evolving? You can find all this information in the report.

DOWNLOAD THE REPORT

In the third quarter, Fumbi introduced a new product, Fumbi Staking Portfolio, with which you can get a reward every week and pay no entry fees or annual fees. Try it and capitalise on the potential of cryptocurrencies simply and effectively with us.