Cryptocurrency Trading Volume Drops By Over 40% In June

Date:

The extreme volatility and the price crash has led to a significant decrease in cryptocurrency trading volume.  Data compiled by Cryptocompare, a London-based analytics firm shows that the trading volume on global cryptocurrency exchanges was down by over 40%. China’s ongoing crackdown on Bitcoin mining and crypto payments also contributed to the drop. 

The report estimates that the spot trading volumes dropped by 42.7 per cent to $2.7-trillion. Similarly, the derivative trading figures showed a 40.7% decline month-over-month in June. Total derivatives trading volume was $3.2 trillion. 

The analytics and data aggregator firm said that the drop continued as  “China persisted with its crackdown on bitcoin mining. As a result of both lower prices and volatility, spot volumes decreased.”

In June, the price of Bitcoin was at its lowest since the beginning of this year. It further dropped by over 6%  in June after losing around 40% of its value in the last two weeks of May. Generally, trading volumes jump with extreme market volatility, however, this time it was down because of China’s heightened restrictions on Bitcoin mining and crypto payments. 

Also, regulatory restrictions facing major cryptocurrency exchanges like Binance led to a drop in trading volume. Data reveals Binance trading volume dropped by over 56% to $668 billion in June. 

Utsav K.
Utsav K.
Utsav is a senior crypto journalist and has been an active member in the community from even before the first major crypto boom back in 2017. In his writings, he focuses on analysing price trends and investigating policies. If you want to understand the practical implications and uses of complex technical protocols, he is your guy.

Leave A Reply

Please enter your comment!
Please enter your name here

Share post:

Subscribe

spot_imgspot_img

Popular

More like this
Related

Australian Regulators Target Unlicensed Crypto Mining Firms

In a significant move against unauthorized cryptocurrency operations, Australian...

Bitcoin Awaits Halving Event: A Potential Catalyst for Record Highs

In the ever-dynamic world of cryptocurrencies, Bitcoin, along with...

No Altcoin Season: Peter Brandt and Benjamin Cowen Alert Bitcoin Dominance Rising

In a recent turn of events, renowned market analysts...

Bitcoin ETFs See Surprise $200M Outflow: Will The New $69K Support Hold?

In a surprising turn of events, Bitcoin ETFs witnessed...