Low volumes in crypto spot markets and derivatives indicate bearish conditions – Bitcoin News Updates

Low volumes in crypto spot markets and derivatives indicate bearish conditions – Bitcoin News Updates

Digital currency markets have weakened significantly in value over the past two weeks, and lower prices have not triggered higher trading volumes. Data show that the volume of the cryptocurrency spot market fell from $ 1.4 trillion in November 2021 to $ 593 billion this month. Open interest rates and the volume of bitcoin futures have also dropped significantly in the last two months.

Crypto Volumes slide from month to month from November

When crypto markets weaken significantly, traders usually look to see if the volume of trade is increasing to support current prices. After a number of coins reached the highest prices of all time during the second week of November, the volume of the crypto spot market continued to fall.

Data from theblockcrypto.com exchange volume control panel, which collects data from the cryptocompare.com metrics, shows that the volume of the spot market has declined from month to month since November.

Low volumes in crypto spot markets and derivatives indicate bearish conditions – Bitcoin News Updates

While $ 1.4 trillion was recorded in November, $ 1.04 trillion was recorded in December. Although the data are incomplete for the month of January 2022, 593 billion dollars have been settled so far.

Although the November volume of the spot market was higher than the December and three weeks of January, the volume of 2.23 trillion dollars recorded in May 2021 was twice as high. Daily volume of exchange follows the same pattern because the daily volume of cryptocurrency trading is lower than two months ago.

Low volumes in crypto spot markets and derivatives indicate bearish conditions – Bitcoin News Updates

On that day, November 2, 2021, 53.27 billion dollars were settled, while the data from January 22, 2022 show 24.65 billion dollars. While the monthly and daily volume of the crypto asset market has declined, the same can be said for derivatives markets such as futures and options.

Low volumes in crypto spot markets and derivatives indicate bearish conditions – Bitcoin News Updates

When BTC On November 10, 2021, it reached the highest price level of all time, and the next day, $ 28 billion in open interest rates on bitcoin futures were recorded. the January 22 metric shows $ 14.64 billion open interest was recorded on a number of bitcoin futures exchanges.

In relationship the future volume of bitcoin, were higher in October than in November. $ 1.94 trillion was recorded last October, and only $ 1.08 trillion has been recorded so far this month. Collective open interest and related scope for bitcoin options they have also declined from month to month in the last two months.

In general, small quantities in crypto spot markets and derivatives have negatively affected the crypto economy. Volume growth usually indicates bullish trading, but this has not been the case lately.

Labels in this story

Bitcoin, Bitcoin (BTC), BTC, Coingglass, crypto means, Cryptocompare stats, data, derivatives markets, Digital assets, reduce the volume, ETH, Ethereum (ETH), Exchanges, Futures, January 22nd, market updates, Markets, markets and prices, metrics, November 10, 2021, options, Prices, Spot Markets, Statistics, theblockcrypto.com stats, Trading platforms

What do you think about the decline in crypto markets lately? Tell us what you think about this topic in the comments section below.

Low volumes in crypto spot markets and derivatives indicate bearish conditions – Bitcoin News Updates

Jamie Redman

Jamie Redman is a news anchor on Bitcoin.com News and a financial technology journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open source code and decentralized applications. Since September 2015, Redman has written more than 5,000 articles for Bitcoin.com News about disruptive protocols appearing today.




Image Credits: Shutterstock, Pixabay, Wiki Commons, dashboard theblockcrypto.com,

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