Crypto Trading Volume Plummets Amidst Concerns About Bitcoin’s Bear Market

Matrixport has flagged a worrying decline in cryptocurrency trading volumes, highlighting potential challenges for platforms and an overall market cooling. While the industry’s market capitalization has grown from $2.4 trillion to $3.7 trillion over the past year, average daily trading volume has plummeted from $352 billion to $178 billion, representing a 50% drop. This discrepancy raises concerns about liquidity and revenue for platforms, signaling a potential bear market phase for Bitcoin. The report suggests that this shrinking activity is a structural warning sign amidst seemingly bullish metrics.