Ethereum Q3 ends as strongest on record since 2016

Ethereum (ETH) ended Q3 with a gain of 66.55%, the largest percentage expansion in its history. While ETH did not break new all-time records, last quarter’s expansion reflected network usage and the growth of DeFi.

Ethereum (ETH) posted the largest percentage gains for Q3, 2025, adding 66.55% to its price. The last quarter was turbulent for ETH, sending the token to a new all-time high while retesting lower ranges of support.

In September, ETH ended with a 5.73% net monthly loss, despite the multiple days of recovery.

ETH had its most successful Q3 in history, adding 66.55% to its price. The last quarter saw peak on-chain trading, transactions, DeFi and stablecoin activity on Ethereum. | Source: Coinglass

The Q3 rally took ETH to a new price range, stabilized above $4,000. While the rally ended just below $5,000, the positive performance set expectations for a year-end rally. ETH retains a dominance of 12.5%, slightly lower after the most recent market correction.

The current ETH rally recalls previous bull seasons, especially the 2021 expansion. This time around, ETH still sets expectations for $10,000 if the bull market continues.

A Q3 rally is the first for ETH, after two years of net losses for the same period. Q3 was on track to end with bigger gains, but the end result was more subdued after the recent correction. During the recent ETH recovery, the period was also the most successful in terms of short-term gains. The price rally coincided with ongoing accumulation into no-sell wallets, as Cryptopolitan reported.

ETH traded in the $4,100 range at the end of September, as altcoins consolidated. The token’s expansion also triggered a dramatic altcoin market, where traders shifted to smaller assets with a bigger potential for gains.

ETH rallied on top of peak transaction activity

ETH started the year with the first quarter in the red, setting up the narrative for a “dead network.” However, the asset disproved the predictions, ending up with two consecutive quarters in the green.

Transaction activity also expanded for Q3, breaking away from the relatively low baseline. Ethereum became one of the key platforms for stablecoin activity, with accelerated minting for the last three months.

Transactions were also cheaper, with low gas fees despite the increased usage. The Ethereum network mostly carried ETH and stablecoin transactions, with additional activity coming from blobs posted by L2 protocols.

Ethereum got a boost from DeFi, L2 performance

Despite competition from other chains, Ethereum remained a key hub for DeFi performance. The chain’s DeFi apps held over $88B in value locked, while Token Terminal data shows all the apps in the ecosystem lock in $355B in user funds.

Apps on @ethereum host ~$355B in user assets

ETH trades at a ~1.44x multiple of its ecosystem TVL

Top 5 sectors & apps by TVL:

1) stablecoins, lending, liquid staking, DEXs & RWAs
2) Tether, Aave, Circle, Lido & EigenLayer pic.twitter.com/WyYlEkus2y

— Token Terminal @ TOKEN2049 🇸🇬 (@tokenterminal) September 30, 2025

The fee-producing apps on Ethereum accelerated in Q3, with more diverse sources of revenue.

Uniswap and Aave were among the strongest fee producers outside Tether and Circle, with added revenues from Ethena. Stablecoin issuers, liquid staking and DEXs were the top 3 types of fee-producing apps on Ethereum.

On-chain trading volumes also expanded gradually, with over $25B achieved as of September 22. Q3 was the most successful period for Ethereum on-chain trading for the whole of 2025.