Bitcoin Spot Trading Volume Has Recently Stabilized At Low Values
As per the latest weekly report from , the BTC spot volume has continued to stabilize at relatively low values this week.The “daily trading volume” is an on-chain indicator that measures the total amount of Bitcoin being transacted on the network on any given day.
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Looks like the value of the indicator has been moving sideways recently | Source:As you can see in the above graph, the Bitcoin trading volume has stabilized since a while now, and this week looks to have continued that trend.
While this has meant the volumes haven’t dropped further recently, their value has nonetheless been quite low in the past weeks.
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Since any large price move requires a large amount of traders participating for it to be sustainable, the most recent rally in the value of Bitcoin has already lost momentum due to the low volumes recently.BTC Price
At the time of writing, Bitcoin’s price floats around $44.8k, down 5% in the last seven days. Over the past month, the crypto has gained 13% in value.
The below chart shows the trend in the price of the coin over the last five days.BTC's price seems to have plunged down over the past twenty-four hours | Source:After moving sideways for a few days, the price of Bitcoin looks to have dropped off below the $45k level again today. Currently, it’s unclear when upwards momentum may return to the crypto. But one thing seems to be clear, any new rallies would need to be backed up by surging trading volumes otherwise that rally too shall lose its spark before long.
Featured image from Unsplash.com, charts from TradingView.com, Arcane Research