Cryptocurrency Trading Volume on CEX Surges, Touches $4.68 Trillion!

Source : Photo by Kanchanara on Unsplash

The cryptocurrency market seems to have fully recovered from the turmoil caused by bankrupt crypto companies such as Terra Luna and FTX.

The price of Bitcoin has remained stable around $40,000 in recent months, and the majority of the top 50 altcoins have been on an upward trend in the last 90 days, according to Coinmarketcap data.

The resurgence of the crypto market is also evident from the report published by CC Data. In December 2023, it was revealed that the combined volume of spot and derivative trading on centralized exchanges (CEX) surged by 28.4% to reach $4.68 trillion.

This increase marks the highest monthly trading volume since June 2022, indicating a significant uptick in market activity.

In particular, spot trading volume increased by 34%, continuing the upward trend for three consecutive months, reaching a total of $1.34 trillion.

The derivative market also experienced substantial growth, with trading volume increasing by 26.3% to $3.34 trillion.

Binance and CME Take the Lead

Source :Photo by Kanchanara on Unsplash

Binance significantly increased its market share, despite facing turbulence throughout 2023 due to regulations and the resignation of its CEO, Changpeng Zhao.

Spot trading volume on Binance rose by 38.3% to $425 billion in December, marking the third consecutive monthly increase and the highest monthly trading volume since March 2023.

Binance's market share among spot CEX increased by 0.70% to 32.5%, recording the first increase in ten months. The company has now begun its recovery, achieving the highest market share since September.

Derivative trading volume on Binance increased by 25.0% to $1.58 trillion, marking the highest monthly volume since March 2023. OKX, Bybit, and Bitget continue to be major contributors, holding market shares of 25.6%, 13.3%, and 8.45%, respectively, in the derivative market.

Source : Photo by Sajad Nori on Unsplash

Institutional interest in the crypto market is further demonstrated by the increasing open interest in BTC futures products traded on the Chicago Mercantile Exchange (CME).

After surpassing Binance as the leading platform for Bitcoin futures based on open interest last month, CME expanded its market share by 2.55%, reaching 31.6%.

BTC Futures products traded on CME continued to rise in December, increasing by 17.5% to $4.83 billion. Derivative trading volume on the CME exchange increased by 3.35% to $70.2 billion, marking the highest volume since November 2021.

Overall, December 2023 marked a significant period for the cryptocurrency exchange market, showing strong growth and increasing interest from various market participants.

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*Disclaimer:

This content aims to enrich reader information. Always conduct independent research and use disposable income before investing. All buying, selling, and crypto asset investment activities are the reader's responsibility.