The crypto market experienced a significant correction in October, with total market capitalization declining approximately 10.4% month-over-month. BTC fell 7.3% and ETH dropped 16.0%, reflecting weakening risk appetite and on-chain dollar liquidity. Capital shifted noticeably toward stablecoins, with USDT fixed-term holdings increasing 37% month-over-month, becoming the primary source of growth. Gate BTC Dual Investment maintained competitive yields across 3–22-day terms, particularly for 9-day and 15-day products. Gate Quant Funds' USDT strategies delivered an average 30-day annualized return of approximately 4.6%, with an October drawdown of just 0.01%. Gate Stocks trading became more diversified, although holdings remained highly concentrated in technology, semiconductors, and aerospace, with SPCX and SK Hynix accounting for a combined 58.5%.
Macroeconomic Market Environment: The crypto market corrected significantly in October, with total market capitalization declining approximately 10.4% month-over-month. BTC fell 7.3% and ETH dropped 16.0%, while the Fear and Greed Index shifted from "Greed" to "Fear." U.S. inflation and elevated interest rates continued to weigh on markets. Spot BTC and ETH ETFs recorded net outflows of $516 million and $1.607 billion, respectively, while total stablecoin market capitalization contracted by approximately 3.2%, indicating weakening risk appetite and on-chain dollar liquidity.
Conservative Wealth Management Products: In October, total Simple Earn holdings remained around $1.8 billion, with funds increasingly shifting toward stablecoins. USDT fixed-term holdings rose 37% month-over-month, becoming the primary growth driver.
Advanced Wealth Management Products: Gate BTC Dual Investment maintained competitive yields across 3–22-day terms, with the strongest advantages in 9-day and 15-day products. Gate Quant Funds' USDT strategies recorded an average 30-day annualized return of approximately 4.6%, with an October drawdown of just 0.01%. Quantum Leap led in returns, while low-drawdown strategies such as Gravity Hedge were better suited as core conservative allocations.
Gate Stocks Performance: Gate Stocks trading became increasingly diversified, with U.S. stocks' share of trading volume declining from approximately 85% to 61%, while ETFs increased from around 6% to 24%. Hong Kong stocks also recorded a modest increase in trading share. However, holdings remained highly concentrated in technology, semiconductors, and aerospace, with SPCX and SK Hynix accounting for a combined 58.5%.
Asset Allocation Recommendations: For November, a moderately defensive approach that balances capital preservation with yield enhancement is recommended. High-liquidity and stable-yield products should form the portfolio foundation, complemented by Quant Funds, stock ETFs, and Dual Investment according to risk tolerance. Conservative investors should prioritize limiting capital volatility, balanced investors can optimize returns and drawdowns through diversified quantitative strategies, while aggressive investors may focus on technology, semiconductors, and ETFs while reducing concentration in individual stocks or themes.
Discover more details: Gate Research: Gate VIP Monthly Report – October 2026
Disclaimer
Investing in cryptocurrency markets involves high risk. Users are advised to conduct their own research and fully understand the nature of the assets and products before making any investment decisions. Gate is not responsible for any losses or damages arising from such decisions.
Gate Team
November 6, 2026
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