Bitcoin trading volume on spot and derivatives platforms fell to 112,317 BTC on August 12, the lowest level since November 10, 2018, CNBC has reported, citing data from analytics platform CryptoQuant.
According to the data, as of August 26, this figure was 129,307 BTC, approximately 94% below the March peak of 3.5 million BTC.
CryptoQuant analysts have attributed this to the outflow of retail investors during the bear market. In addition, this dynamic was influenced by regulatory measures imposed in the US on cryptocurrencies combined with the end of the banking crisis in May.
Gautam Chhugani, analyst at Bernstein, has added:
"Overall, [the] market remained dull waiting for a new catalyst and the overall market liquidity remained scant... This market is not necessarily bearish, but the participants remain disinterested to trade, as the market waits for catalysts."
According to him, the real opportunity for investors "lies in staying the course into the new market cycle," which usually coincides with halving. The next reduction in miners' rewards is scheduled for spring 2024.