Bitcoin led Q1 2023 with highest returns as altcoins tumbled
According to the most recent Coingecko analysis, bitcoin (BTC) was the asset that had the greatest return on investment during the first three months of 2023 as stablecoins tumbled.
Bitcoin’s value in US dollars increased from just under $17,000 on December 31, 2022, to over $28,000 on March 31, 2023. According to the article, the revival of the cryptocurrency asset may be attributed to “increased volatility from the banking crisis” and to the decision made by Binance to stop a portion of its zero-fee incentive plan for bitcoin transactions.
Bitcoin made a resurgence that saw it complete the first quarter of 2023 at over $28,000. It has surpassed vital asset classes such as the Nasdaq index and gold due to its success when crossing a crucial $30,000 mark in april.
According to the analysis, bitcoin was the asset that performed the best since its value increased by 72.4% quarter over quarter (QoQ). With increases of 15.7% and 8.4%, respectively, the Nasdaq index and gold came in second and third place among the most outstanding performers.
According to Coingecko, the market capitalization of stablecoins had decreased by 4.5%, which is equivalent to $6.5 billion, “due to the shutdown of Binance USD (BUSD) by Paxos and the brief USD Coin (USDC) de-pegging event during SVB’s collapse.”
Meanwhile, DeFi market capitalization increased by 65.2% to reach $29.6 billion by the end of the quarter. The value of liquid staking governance tokens increased by 210.9% during the first quarter of 2018, propelling them to the third largest category in DeFi.
Trading volumes on non-fungible token (NFT) platforms also increased during this period, going from $2.1 billion in the previous quarter of 2022 to $4.5 billion overall. Many of these volumes originated from Blur, which has lately supplanted OpenSea as the NFT platform with the highest market share.