Cryptocurrency spot trading volume fell to $1.59 trillion in November – a new low since June
According to The Block, cryptocurrency trading volume cooled significantly in November, with centralized exchanges' spot trading volume falling to $1.59 trillion, the lowest level since June.
Trading activity declined across major platforms, including the DeFi market, reflecting a general slowdown in the market following the high volatility surge in October.
Spot Trading Declines
Spot trading volume fell 26.7% from $2.17 trillion in October, indicating that traders withdrew as volatility decreased.
Binance led the market with a trading volume of $599.34 billion, down from $810.44 billion in October.
Bybit followed closely with a trading volume of $105.8 billion.
Gateio's trading volume was $96.75 billion.
Coinbase's trading volume was $93.41 billion.
Market makers described November as a cooling phase following the crowded rally in October. Profit-taking, narrow trading ranges, and reduced trading volume were the main characteristics of market activity this month.
DeFi trading volume also declined.
- The slowdown in trading volume wasn't limited to centralized exchanges.
- DEX trading volume fell to $397.78 billion, a significant drop from $568.43 billion in October, marking the lowest level since June.
Major platform trading volumes declined:
– Uniswap: $79.98 billion, down from $123.88 billion in October
– PancakeSwap: $70.57 billion, down from $102.02 billion in October
- The DEX to CEX volume ratio fell to 15.73%, indicating that increased liquidity and narrowing spreads prompted traders to return to centralized trading platforms.
Price action exacerbated downward pressure.
- Bitcoin's price fell from $110,000 at the beginning of the month to below $82,000 on November 21. This decline weakened market momentum and reduced overall trading demand.
- The spot Bitcoin ETF reflected this change. The US market saw a net outflow of $3.48 billion, reversing the net inflows of October.
- The slowdown in November suggests that the market was overheated in October and needed adjustment.
