Exploring The 27% Plummet And Key Financial Metrics
A recent report from research firm Messari outlines how the NEAR (NEAR) protocol performed during the tumultuous third quarter (Q3) of 2024, when the broader cryptocurrency market experienced significant volatility.
NEAR Protocol Q3 Performance
The NEAR cryptocurrency market continued to be depressed throughout the second quarter of 2024 and continued into the third quarter. agreed Circulation market value drops to approximately US$5.16 billion, a significant month-on-month decrease of approximately 27.52%.
NEAR’s token price also fell slightly, closing the quarter at around $5.29, a slight decrease of 0.21% from the previous quarter. Despite these challenges, NEAR has managed to maintain its position as the 17th largest cryptocurrency by market capitalization, indicating the relative stability of the leading digital asset.
However, over the past three weeks, its market capitalization has increased by 54%, rising to $7.99 billion in the broader context. market rebound Led by Bitcoin (BTC), the election of Donald Trump served as a catalyst.
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One notable aspect of NEAR’s third-quarter results was its revenue, which measures network transaction fees but excludes storage staking. Revenue dropped to approximately US$1.64 million, a 30.13% month-on-month decrease.
This drop is particularly significant because it represents lower revenue in the first quarter of last year than at the beginning of the year. The report attributes this to trading volumewhich resulted in lower transaction fees – a decrease of approximately 10.48% month-on-month and a year-on-year decrease of 34.23%.
As of the end of Q3 2024, approximately 93.46% of the total NEAR token supply was in circulation, of which 52.36% was staked. The annualized nominal return on pledge is approximately 8.60%, and the annualized actual return is 4.09%.
NEAR trades up despite volume challenges address activity. The average daily active return addresses increased by 7.27% month-on-month, and the average daily new addresses increased by 11.06% month-on-month.
TVL rises, liquid staking increases
The report also highlights a worrying trend in developer engagement. NEAR’s number of weekly active core developers dropped significantly, from 177 to 104, a drop of 41.28%. Likewise, the number of weekly active ecosystem developers also dropped by 19.70%, from 286 to 230.
In terms of decentralized finance (DeFi), NEAR’s Total value locked (TVL) recorded a slight increase, reaching approximately US$251.44 million at the end of the third quarter, an increase of 7.63% from the previous quarter.
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It is worth noting that NEAR’s liquid pledge TVL also increased by 9.85% month-on-month, reaching approximately $279.66 million. The TVL of the LiNEAR protocol is approximately $145.14 million, while Meta Pool has increased by 12.70%, totaling approximately $126.61 million.
As of this writing, the NEAR token is trading at $6.745, up a whopping 27% and 46% on the 14-day and 30-day timeframes, respectively, and is up a whopping 266% so far this year.
Featured images from DALL-E, charts from TradingView.com
