# Crypto Landscape Health Check _Key takeaway's across the ecosystem_ April 3, 2026 • Michael Nadeau --- # Crypto Landscape Health Check ## Key takeaway's across the ecosystem Michael Nadeau April 03, 2026 Hello readers, We’re now 5.5 months into the latest “crypto winter.” The tide has gone out. The animal spirits are in hiding. And the tourists have left. Naturally, it’s time to roll up our sleeves. Because bear markets are when we separate the wheat from the chaff. This is where clarity and *conviction* are formed. In this week’s report, we share a high-level chart pack to assess the health of the ecosystem and the trends we believe are shaping the next expansion. Topics covered: - [Total Crypto Market Cap](#total-crypto-market-cap) - [Spot Markets](#spot-markets) - [Perpetual Futures Markets](#perpetual-futures-markets) - [Stablecoins](#stablecoins) - [New Trading Tokens](#new-trading-tokens-trading-app-reve) - [L1 Base Fees vs Pump Fun](#365-day-l-1-base-fees-vs-pump-fun-f) - [Closing Thoughts](#closing-thoughts) *Please note that you can click the data citation note under each chart to access the supporting dashboard for this week’s report. *The DeFi Report is powered by **[Galaxy](https://www.galaxy.com/?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check)**: helping the world invest, build, and transform — relentlessly. * [](https://www.galaxy.com/?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check)Galaxy is a global leader in digital assets and data center infrastructure, delivering institutional solutions across trading, asset management, staking, custody, and tokenization. Alongside financial services, Galaxy builds AI- and HPC-ready data centers, including 1.6 GW of approved power at its Helios campus, built for scale through every cycle. Let’s go. # Total Crypto Market Cap [Data: The DeFi Report](https://dune.com/the_defi_report/the-crypto-landscape?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) The current breakdown by top categories: - BTC: 57% - L1s: 25% - Stablecoins: 14% - DeFi: 2% - Other: 2% *Both the Stablecoin and DeFi categories produce more revenue than L1s — highlighting the persistent *monetary premium* that L1s are still receiving from market participants. As shown above, the total crypto market cap is currently $2.4 trillion — down 45% (from a peak of $4.4 trillion), roughly in line with what we saw 5.5 months into the last bear market, when it was down 40%. ##### Key Takeaways If the total decline in market cap aligns with the relative decline from peak to trough in '22 vs ‘18, we *could *see the total crypto market cap fall 62% from the peak to $1.67 trillion (a 30% decline from current levels). In the ‘22 bear market, the decline accelerated *after* stablecoin supply rolled over five months in. We’re at a similar stage of the cycle today, as stablecoin supply hit a local top on March 16, roughly five months into the bear market. More on stablecoins later in the report. Finally, BTC’s dominance typically falls during bear markets (38% at the ‘22 bottom). It’s currently 57%. We expect it to decline more moderately in the current bear market. Why? There are fewer new and exciting use cases this cycle, as it’s become clear to VCs that blockchains are best suited for finance and payments. This reduces the amount of capital that might flow into non-BTC crypto assets. For this reason, when the market topped in October, BTC dominance was 60%. In ‘21, BTC had just a 43% market share at the top. # Spot Markets [Data: The DeFi Report (top 10 CEX & DEX’s)](https://dune.com/the_defi_report/the-crypto-landscape?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) ##### Key Takeaways - Total Spot Volumes (DEX + CEX) are currently *down* 70% from the peak in early Q4. CEX volumes are down 71%, and DEX volumes are down 67%. - CEX spot volumes are currently *up* 1.5x compared to the lows in early ‘23. DEX volumes are currently up *9.1x *from the lows in early ‘23. - DEX volumes currently account for roughly 25% of CEX volumes — up from roughly 5% in ‘22. Uniswap leads the market with a 38% market share, followed by Meteora (Solana) with 22%. Pancakeswap (BNB Chain) is #3 with a 15% market share. The most interesting development within the DEX sector over the last year is the rise of *private* DEXs on Solana — which currently account for 53% of Solana DEX volumes. HumidiFi is the leading private DEX, and currently has a 3% market share amongst all DEXs. - Binance still dominates the spot CEX market with 39% market share. MEXC (11%), Gate io (8%), Bybit (8%), OKX (7%), and Coinbase (7%) are all a “tier below” Binance. ##### Spot DEX Volumes as a % of Spot CEX Volumes [Data: The DeFi Report](https://dune.com/the_defi_report/the-crypto-landscape?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) ##### Takeaway DEXs continue to take market share from CEXs in the current bear market. This is also an indicator that the still-active users are “crypto-native” — something we expect to see at this stage of the cycle. What’s more interesting is that DeFi protocols as a category produce more revenue than Layer 1 blockchains, but represent *just 2%* of the total crypto market cap today (L1s are roughly 80%). Multiple DEXs on [*The Watch List*](https://thedefireport.io/price-targets?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check)* *are currently trading within our “fair value” and “deep value” ranges. ##### CEX + DEX Volumes as a % of Nasdaq [Data: The DeFi Report](https://dune.com/the_defi_report/the-crypto-landscape?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) One of the more under-reported events of the last cycle was that crypto volumes gave the Nasdaq a run for its money during the “memecoin frenzy” last January — when crypto volumes grew nearly 3x to $90b/day (90% of Nasdaq volumes at the time). Today, the crypto markets are generating roughly 20% of Nasdaq's trading volume. # Perpetual Futures Markets ##### Volumes [Data: The DeFi Report](https://dune.com/the_defi_report/the-crypto-landscape?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) ##### Key Takeaways - Total Perps volumes are currently down 63% from the highs established in Q4 of last year. CEX perp volumes are down 57%, and DEX volumes are down 84%. - Perpetual futures volumes are currently *4x* daily spot volumes, highlighting their appeal with retail traders. - DEX perp volumes currently account for 9.3% of CEX perp volumes, up from 4% at the start of 2025. - [Hyperliquid](https://dune.com/the_defi_report/hyperliquid?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check)currently accounts for roughly 60% of DEX volumes and 4.6% of total (DEX + CEX) perps volumes. - In terms of CEX perp volumes, Binance is king with 43% market share so far this year. OKX has 20%, followed by Bybit and Gate (13%), and Coinbase International (5%). For more on the Perps Markets and why we think this is the most important sector to keep an eye on ahead of the next cycle, see our [recent deep dive](https://thedefireport.io/research/perps-market-deep-dive?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) on the sector. [](https://thedefireport.io/friends?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check)[Sign up for One Month Free](https://thedefireport.io/friends?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) # Stablecoins [Data: The DeFi Report](https://dune.com/the_defi_report/the-crypto-landscape?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) Everyone is bullish on stablecoins, and so are we. Supply is up $192b over the last 2.5 years (now $333b). But we also think the chart may be topping out for a bit. Why? In the '21 cycle, stablecoin supply peaked on 4.1.22 (nearly 5 months after BTC peaked and after flat-lining for 3+ months. USDC didn't peak until July '22) In the current cycle, we hit a local peak on 3.16.26 (also 5 months post BTC top). We've been flatlining for 5 months now as: - Capital flows into crypto stall (market is "risk-off") - Leverage unwinds (real-world payments are still a small % of stablecoin tx) - Reflexive yields in DeFi fall (no incentive to hold stables, given onchain risk) So far, we've only seen a slowdown in growth (flatlining supply for 5 months). The next phase, in our opinion, is fiat redemptions. After peaking in April '22, it took 2.5 years for Stablecoin Supply to reclaim that level. Nobody expects this to happen again this cycle (due to regulation). But regulation doesn't create demand for stablecoins in a "risk-off" environment. ##### Key Takeaways Regulation alone will not create new use cases & apps, banking stablecoins, and new payroll solutions. That comes later. Furthermore, the GENIUS Act prohibits issuers of stablecoins from sharing yield with the holder of the stablecoin. That may be good for Circle and Tether’s business model. But it doesn’t help the end crypto user. For this reason, we think the regulation (as structured) will benefit *offshore* “yield-bearing stablecoins” such as Ethena’s USDe in the next market expansion. More on Ethena [here](https://thedefireport.io/research/the-watch-list-ethena?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) and [here](https://dune.com/the_defi_report/ethena?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check). Finally, Tether recently hired the Big 4 accounting firm, KPMG, as its auditor. The firm has hinted at going public, and the move here seems to align with those plans. We’re also expecting Tether to launch a U.S.-compliant stablecoin and seek to wrap services around that. It’s unclear what those services might be. But it’s our view that the winner of the stablecoin race will win by wrapping sticky services with the stablecoin. That could be payroll. It could be payments, remittance & e-commerce. It could be lending & banking. # New Trading Tokens & Trading App Revenue ##### New Trading Tokens by Chain [Data: The DeFi Report](https://dune.com/the_defi_report/the-crypto-landscape?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) ##### Key Takeaways - In every crypto cycle, there is a new “use case” that helps onboard new users to crypto. In the past cycle, it was the rise of *launchpads* on Solana and the memecoin trading that came with it. - Lots of people have strong *feelings* about memecoins. We think that’s a mistake. Our approach is to simply observe the market. We think there is product/market fit here due to demand for the “game-like” experience that the best apps have delivered. - New trading tokens are currently down 53% from their peak in early ‘25. - Solana (via Pump Fun) currently has 83% of the market, followed by Base with 10%. - Pump Fun (one of the most profitable apps from the last cycle) revenues have held up relatively well in the bear market. The app is currently generating roughly $1.2m/day across the launchpad, DEX, and Padre (trading app). At the peak of the last cycle, it was generating roughly $2.9b/day. - We believe memecoins and trading apps are not going away. More on the latter below. ##### Trading App Revenues [Data: The DeFi Report](https://dune.com/the_defi_report/the-crypto-landscape?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) ##### Key Takeaways - Trading bots/apps were some of the most successful apps of the last cycle. At one point, they were generating over $10m/day (!). Combined revenues are now down 94% from their peak in early ‘25. - Early in ‘25, Axiom burst onto the scene and captured significant market share by bundling a wallet, trading, and social experience into one user-friendly interface (while tapping into the underlying decentralized infrastructure). - Axiom ($34m of revenue in Q1) currently has a 68% market share within the category. Padre (acquired by Pump Fun) is number two with 18%. - We view the crypto trading experience that Axiom has built as the ultimate “crypto game.” That’s what speculative memecoin trading is in our view. - With Pump Fun’s launch of Pump Swap (DEX) and acquisition of Padre (trading app) last year, it’s clear they are trying to own the entire end-to-end experience within the sector. # 365-Day L1 Base Fees vs Pump Fun Fees [Data: The DeFi Report](https://dune.com/the_defi_report/the-crypto-landscape?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) ##### Key Takeaway Value is clearly moving up the tech stack, where we saw a number of apps launch with small teams and quickly scale to hundreds of millions of revenue. We expect this to continue in the next market expansion as the top L1s now have the infrastructure + distribution to help the best builders launch and scale quickly. For more on Pump Fun, you can check out our coverage in *The Watch List* [here](https://thedefireport.io/research/the-watch-list-pump-fun?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) and access our data dashboard [here](https://dune.com/the_defi_report/pump?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check). # Closing Thoughts Markets are down. Sentiment is bad. Animal spirits are in hiding, and the tourists have gone back to whatever they were doing. Said another way, *the tide has gone out. * That’s why this is the BEST time to be analyzing the market. Most crypto assets will never get back to all-time highs. At the same time, the next 10-20 bagger is hiding in plain sight. Oversold and forgotten. Until it’s not. That’s why we’re actively conducting some of our most important research. We’re doing the work now so we're prepared when the next “fat pitch” arrives. If you’d like to access our active portfolio and be notified as we make changes, you can subscribe to TDR Pro [here](https://thedefireport.io/upgrade?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check). ##### Related: - [The Watch List](https://thedefireport.io/the-watch-list?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) - [Bitcoin “Health Check”](https://thedefireport.io/research/bitcoin-network-health-check?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) - [Perps Market Deep Dive](https://thedefireport.io/research/perps-market-deep-dive?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) - [Crypto Landscape Dashboard](https://dune.com/the_defi_report/the-crypto-landscape?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) - [Pump Fun Dashboard](https://dune.com/the_defi_report/pump?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) - [Ethena Dashboard](https://dune.com/the_defi_report/ethena?utm_source=thedefireport.beehiiv.com&utm_medium=referral&utm_campaign=crypto-landscape-health-check) Take a Report. And Stay Curious. ***Disclaimer****: Individuals have unique circumstances, goals, and risk tolerances, so you should consult a certified investment professional and/or do your own diligence before making investment decisions. The author is not an investment advisor and may hold positions in the assets covered. Certified professionals can provide individualized investment advice tailored to your unique situation. This research report is for general educational purposes only, is not individualized, and as such should not be construed as investment advice. The content contained in the report is derived from both publicly available information as well as proprietary data sources. All information presented and sources are believed to be reliable as of the date first published. Any opinions expressed in the report are based on the information cited herein as of the date of the publication. Although The DeFi Report and the author believe the information presented is substantially accurate in all material respects and does not omit to state material facts necessary to make the statements herein not misleading, all information and materials in the report are provided on an “as is” and “as available” basis, without warranty or condition of any kind either expressed or implied.*