Binance Report: Cryptocurrency market experienced a pullback in April, Rune, liquidity mining, and stablecoins showing upward trends

Binance Research has released the Market Insights Report for April, indicating a downturn in the cryptocurrency market with a total market capitalization decrease of 11%. However, Rune Protocol, Liquidity Reinvestment Protocol, and the total supply of stablecoins all showed an upward trend.

April Cryptocurrency Market Total Market Value Decreased by 11%

In April, the cryptocurrency market experienced a downturn, with the total market value decreasing by 11% during the month. Factors such as changes in interest rate expectations, geopolitical risks, and slowing flow of Bitcoin spot ETFs are considered the main drivers of downward pressure.

Among the top ten cryptocurrencies by market capitalization in April, only TON showed an increase, benefiting from recent attention to its ecosystem. According to on-chain indicators, TON network's TVL reached a historical high of $170 million, and the number of monthly active addresses more than doubled from 744,000 in March to a historical high of 1.7 million in April. A key driver of growth in the TON ecosystem is the "Open Alliance," a community reward program aimed at incentivizing network usage through a total prize pool of 30 million TON tokens.

BNB also remained relatively stable, with Binance launching its first Megadrop in April, allowing BNB holders to earn rewards by locking BNB and completing a series of tasks.

Binance launches token issuance platform "Megadrop" first project BounceBit

Bitcoin and Ethereum saw a decline of 8.3% in April.

Rune Protocol Accounts for One-Third of Bitcoin Network Fees

The Rune Protocol is a new token standard on the Bitcoin network that has generated over $130 million in fees since its launch on April 20. With over 3 million transactions recorded, the fees generated account for approximately 33% of the Bitcoin network fees.

Aside from its features, how does the Rune Protocol once again drive market speculation?

Total Value Locked in Liquidity Reinvestment Protocols Surpasses $10 Billion

The TVL in liquidity reinvestment protocols continues to rise, surpassing $10 billion in April. In addition to liquidity advantages, another key driver of growth is the prevalence of "point systems," where users engage in these protocols to earn points in hopes of qualifying for future airdrops.

Total Stablecoin Supply Reaches Two-Year High

The total supply of stablecoins pegged to the US dollar has been on the rise this year, reaching $160 billion in April, the highest level in nearly two years. This is related to the overall market improvement, as stablecoins are a key indicator of demand in the cryptocurrency market.

First Digital's FDUSD and Ethena's USDe are the primary beneficiaries of this growth, each growing by 80% and 52.3% in April alone.