Crypto▼ Bearish
Crypto Volume Drops To 2-Year Low, Is A Relief Rally Next?
Crypto trading volume dropped to a two-year low in June, down roughly 40% from Q1 averages, Santiment data shows. A relief rally would need a catalyst.
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Crypto trading volume hit a two-year low in June, according to on-chain analytics firm Santiment. The firm posted the reading on X, saying the decline reflects a broad pullback in investor activity.
Volume has fallen steadily since the first quarter, when a wave of speculative trading pushed activity to multi-month highs. The drop accelerated in June. Daily volumes on major exchanges now run roughly 40% below the Q1 average, Santiment's metrics show. Bitcoin and Ethereum saw the sharpest drops. Altcoin volumes contracted even more. Retail interest faded.
The low-volume environment changes how trades execute. Thin order books mean larger price swings on relatively small orders. A single market order can move an illiquid pair by several percent. That tends to discourage institutional participation and reinforce the downward drift. Several traders told CoinDesk last week they had reduced position sizes because of the liquidity shift.