The cryptocurrency market continued its downward trend in September, extending the bearish momentum observed throughout much of the summer. Despite hopes for a recovery following August’s broad-based corrections, most key metrics either declined further or showed minimal improvement. In this deep dive, we’ll unpack the state of the crypto market through 12 data-driven charts that highlight critical shifts across Bitcoin, Ethereum, stablecoins, derivatives, and on-chain activity.
Whether you're an investor, trader, or long-term observer, understanding these trends is essential for navigating the current market cycle. Below, we analyze each metric with clarity and context—offering insights into what these numbers mean for the broader ecosystem.
👉 Discover how market trends can shape your next move—explore real-time data tools here.
📉 Declining On-Chain Transaction Volumes
1. Bitcoin and Ethereum Adjusted Transfer Values Drop Sharply
In September, the adjusted on-chain transaction volume for both Bitcoin and Ethereum fell by 17.5%, dropping to $145 billion. This reflects weakening economic activity across major blockchains.
- Bitcoin: Adjusted transfer value dropped 20.83% month-over-month.
- Ethereum: Saw a more moderate decline of 12.6%.
This sustained reduction suggests reduced user engagement and fewer large-scale transfers, often indicating investor caution during uncertain market conditions.
💸 Stablecoin Activity Contracts—But Supply Grows Slightly
2. Stablecoin Transaction Volume Falls While Supply Edges Up
Total stablecoin transaction volume on-chain decreased by 10.7% to $465.2 billion** in September. However, there was one bright spot: total stablecoin supply increased slightly to **$116 billion, marking a 0.75% growth—one of the few positive indicators for the month.
Despite this uptick in issuance:
- USDT maintained dominance with 72.3% market share, though slightly down from August.
- USDC continued its decline, now holding just 20% of the stablecoin market.
A rising supply amid falling transaction volume could signal accumulation behavior—users may be moving funds into stablecoins in anticipation of future opportunities or volatility.
👉 Learn how stablecoin trends can protect your portfolio during downturns.
⛏️ Miner and Staker Revenue Under Pressure
3. Decline in Miner and Staker Incomes
Revenue for both Bitcoin miners and Ethereum stakers declined in September:
- Bitcoin mining revenue dropped 6.4% to $753 million.
- Ethereum staking rewards fell 11.2%, reaching approximately $115 million.
These decreases reflect lower transaction fees and reduced network activity. For miners, this pressure comes at a challenging time—just months away from the next Bitcoin halving event, which will cut block rewards in half.
🔥 Ethereum Continues Deflationary Trend
4. Over 44,000 ETH Burned in September
Ethereum’s deflationary mechanism, introduced via EIP-1559, remained active throughout the month. In September alone, 44,267 ETH (worth ~$71.7 million) were burned through transaction fee destruction.
Since EIP-1559 launched in August 2021:
- Total ETH burned: ~3.62 million ETH
- Value equivalent: ~$10.24 billion
While lower network usage contributed to reduced burn rates compared to peak periods, the continued removal of ETH from circulation supports long-term supply scarcity.
🎨 NFT Market Slows Down Sharply
5. NFT Trading Volume Plunges by Over 30%
The Ethereum-based NFT market saw a significant contraction in September, with trading volume falling 31.8% to $261 million.
Despite the downturn:
- Blur, the newer NFT marketplace, extended its lead over OpenSea for the eighth consecutive month in monthly trading volume.
This suggests professional traders still favor platforms with incentives and advanced trading tools—even in bear markets.
🏦 Centralized Exchange Spot Volumes Hit Multi-Year Lows
6. CEX Spot Trading Drops to Lowest Level Since 2020
Compliant centralized exchanges (CEX) reported a staggering 28.3% drop in spot trading volume, falling to $187.7 billion—the lowest level since October 2020.
Low volatility and macroeconomic uncertainty likely contributed to reduced investor participation. With fewer price swings, traders have less incentive to enter and exit positions frequently.
🏦 Exchange Market Share Shifts
7. Binance Loses Ground Amid Falling Volumes
Despite retaining dominance, Binance’s share of global spot volume slipped from ~74% to 69.3% in September. Other major players held relatively steady:
- Coinbase: 10.9%
- Kraken: 6.1%
- BTSE: 5.2%
- LMAX Digital: 2.4%
The shift may reflect regional regulatory pressures and increased competition from alternative trading venues.
📊 GBTC Trading Activity Collapses
8. Grayscale Bitcoin Trust (GBTC) Volume Nearly Halves
Grayscale’s flagship Bitcoin trust saw its average daily trading volume plunge by 46.9%, dropping to just $36 million.
This sharp decline underscores weakening investor interest in legacy crypto investment vehicles—especially as new spot Bitcoin ETFs inch closer to approval in the U.S.
📈 Futures Positions Rise But Trading Falls
9. Open Interest Grows While Futures Volume Drops
Despite lower trading activity:
- Bitcoin futures open interest rose 3.9%
- Ethereum futures open interest jumped 11.4%
However, actual trading volumes declined:
- Bitcoin futures volume: Down 20.2% to $481 billion
- Ethereum futures volume: Down 20.6% to $209.7 billion
Rising open interest amid falling volume may indicate longer-term positioning rather than active speculation—possibly a sign of cautious optimism among institutional traders.
📉 CME Bitcoin Futures See Sharp Decline
10. CME Group’s Bitcoin Futures Activity Slows
The Chicago Mercantile Exchange (CME), a key barometer for institutional sentiment:
- Open interest dropped 12.8%
- Daily average volume fell 16%, down to $1.15 billion
This retreat suggests even traditional finance participants are pulling back during periods of low volatility and unclear directional momentum.
📊 Options Markets Cool Off
11 & 12. Bitcoin and Ethereum Options Activity Declines Across the Board
Both options open interest and trading volume declined in September:
| Metric | Bitcoin | Ethereum |
|---|
(Note: Tables are prohibited; converted to prose)
- Bitcoin options open interest: Down 15.6%, trading volume fell 17.9% to $17.3 billion
- Ethereum options open interest: Down 6.4%, trading volume dropped 10% to $10.1 billion
These reductions point to diminished hedging demand and lower expectations for near-term price swings.
🔍 Frequently Asked Questions (FAQ)
Q: Why did crypto markets remain weak in September?
A: A combination of low macroeconomic volatility, lack of major catalysts, regulatory uncertainty, and declining on-chain activity contributed to the ongoing stagnation.
Q: Does rising stablecoin supply signal a market bottom?
A: It can be a contrarian indicator—when users accumulate stablecoins, they may be preparing for future entries rather than exiting entirely. However, it's not definitive without broader confirmation signals.
Q: Is declining exchange volume always bearish?
A: Not necessarily. Low volume during consolidation phases is normal. However, prolonged drops—especially when paired with falling miner revenue and NFT activity—suggest weak market engagement.
Q: What does rising futures open interest mean during low volume periods?
A: It often indicates that traders are building longer-term positions rather than actively trading, which could foreshadow increased volatility ahead.
Q: How important is the ETH burn rate for price?
A: While not an immediate price driver, consistent ETH burns reduce supply over time, creating deflationary pressure that supports value accrual—especially as adoption grows.
Final Thoughts
September painted a clear picture: the crypto market remains in a consolidation phase marked by declining activity across nearly every measurable metric—from on-chain transactions to exchange volumes and derivatives trading.
Yet within this quiet period lie subtle signals: stablecoin supply growth, persistent ETH burns, and rising futures open interest hint that capital may be repositioning beneath the surface.
For informed investors, these lulls offer valuable opportunities to reassess strategies, strengthen risk management, and prepare for the next phase of the cycle.