September Crypto Assets Market Analysis: The Actual Decline Behind the Surface Prosperity

Although Bitcoin prices rebounded in September, several core indicators of the Crypto Assets market showed a downward trend. This article will analyze the overall condition of the Crypto market over the past month from multiple dimensions.

First, the total on-chain transaction volume of Bitcoin and Ethereum in September decreased overall by 13%, falling to $328 billion. The adjusted on-chain transaction volume of Bitcoin declined by 10.2%, while Ethereum dropped by 17.8%.

In terms of stablecoins, the on-chain transaction volume adjusted in September dropped significantly by 30.8%, falling to $832 billion. However, the issuance supply of stablecoins still saw a slight increase of 1.3%, reaching $150.4 billion. Currently, the market shares of USDT and USDC are 78.3% and 17.6%, respectively.

In terms of miner income, Bitcoin miners' revenue continued to decline by 4.2% in September to $815.3 million. At the same time, Ethereum staking income also decreased by 4%, falling to $209.4 million.

It is worth noting that in September, the Ethereum network destroyed a total of 26,874 ETH, valued at approximately 68.2 million USD. Since the implementation of EIP-1559 in early August 2021, the cumulative amount of Ethereum destroyed has reached approximately 4.39 million ETH, valued at around 12.4 billion USD.

The NFT market continues to be sluggish, with Ethereum blockchain NFT transaction volume declining again by 22% in September, down to approximately $96.1 million.

On the exchange side, the spot trading volume of compliant centralized exchanges failed to continue the growth trend of August in September, dropping by 17.4% to $724.6 billion.

However, the net inflow of spot Bitcoin ETFs in September showed a positive growth of $1.13 billion, indicating an increase in interest from institutional investors.

In the derivatives market, the open interest for Bitcoin and Ethereum futures has both increased by about 16%. However, in terms of trading volume, Bitcoin futures saw a 16.1% decrease in September to $1.11 trillion, while Ethereum futures trading volume decreased by 20.8%.

The open interest in CME Bitcoin futures increased by 14.3% to $10.3 billion, but the average daily trading volume decreased by 4.7% to approximately $4.8 billion. The average monthly trading volume of Ethereum futures decreased by 20.8% to $465.5 billion.

The options market is also showing a downward trend. In September, the open interest of Bitcoin options fell by 1.6%, while the open interest of Ethereum options dropped by 8.4%. The monthly trading volume of Bitcoin options decreased by 28.1% to 38.6 billion USD, and the trading volume of Ethereum options significantly declined by 37.5% to 9.7 billion USD.

Overall, although the price of Bitcoin rebounded in September, several key indicators of the Crypto Assets market continue to show a downward trend, reflecting a decrease in overall market activity. This situation of apparent prosperity coexisting with actual decline is worth close attention from investors.