- Spot trading volume across centralised exchanges rose 16.4% to $575 billion in June, the first time volumes rose in three months.
- Derivatives trading volume on CEXs also rose, with the month seeing a 13.7% spike to $2.13 trillion.
- Binance saw a decline in both spot and derivatives volumes as OKX registered an increase.
According to the latest “Exchange Review” report by research and data platform CCData shows that the spot volumes jumped 16.4% to $575 billion in June as the crypto market experienced increased volatility over the month.
Meanwhile, the combined CEX volumes across spot and derivatives markets hit $2.7 trillion. The monthly trading volume for the two metrics rose 14.2%, while it was 13.7% for derivatives as volumes hit $2.13 trillion – the first increase for derivatives trading volume in three months.
📈As per our Exchange Review, spot & derivative trading on centralised exchanges rose 14% to $2.71tn.
— CCData (@CCData_io) July 5, 2023
Positive news fuel crypto trading activity
The spike in volatility was fueled by the US Securities and Exchange Commission (SEC)’s lawsuit against leading exchanges Binance and Coinbase.
Also key to this was the positivity that greeted the filing of spot Bitcoin exchange traded funds (ETFs) by major Wall Street asset managers BlackRock and Fidelity, and the launch of Citadel backed crypto exchange EDX Markets.
“The increase in the market share of spot trading volume hints at the healthy accumulation of crypto following recent positive news in the markets,”CCData researchers note in the report.
This outlook was indeed visible in the market. Increased trading activity saw Bitcoin price shoot to a new year-to-date high above $31k, while altcoins like Litecoin and Bitcoin Cash rode the optimistic outlook to break above critical resistance levels. [Read more]
Binance’s spot and derivatives volumes decline
Despite the above increases, the quarterly spot trading volumes on CEXs still hover near “historically low levels.” For instance, quarterly spot volumes for Q2, 2023 were the lowest since the fourth quarter of 2019.
Also notably, the spot market share of Binance declined 41.6% in June to see the leading exchange record a fourth consecutive month of declines, and its lowest market share since August 2022. And although Binance continues to dominate the crypto derivatives trading market with $1.21 trillion, it fell 56.8% in June.
OKX, which is the world’s second-largest derivatives exchange, recorded a 44.9% increase in its trading volume to hit $416 billion in June. The crypto exchange’s market share has now grown to 19.5%, its highest level since April 2022.