Cryptocurrency exchanges have yet to make a rebound to cushion its recent setbacks since the start of the year, based on a new study made by blockchain research agency Diar last February 4.
Trading nightmare
Major crypto players disclosed dismal figures in the first quarter this year, hitting fresh lows in terms of trading volume not seen in the early weeks of last year.
Diar said that this period was one of the worst for Binance, as the exchange’s bitcoin/dollar (BTC/USD) dropped by over 40 pct compared to the previous month. Binance is a global cryptocurrency exchange in terms of Adjusted Trade Volume (ATV).
On the other hand, the BTC/USD market of Coinbase is also said to be experiencing new lows not seen since the first quarter of 2017, at about $1 billion.
Unfazed by weak trading volume
Also posting a 3-month rally is OKEx, a major digital currency exchange based in Hong Kong that saw its trade volume plunge below the $4 billion level from its strongest peak of $5.5 billion.
The latest update was in reference to a recent remark by Binance chief operating officer Changpeng Zhao when he said that the exchange was not worried about weak trading volumes as a result of the broad downside that hit the market of late.
Meanwhile, a report issued by the Blockchain Transparency Institute (BTI) said that a huge number of the 25 leading bitcoin trading pairs listed on CoinMarketCap are hinged upon “grossly inflated” false volumes.
Will major exchanges suffer the same dilemma this year? Share us your views in the comment section below.