Bitcoin spot trading activity kept weakening in July, according to CryptoQuant analyst Darkfost, with volumes across major exchanges falling sharply from highs seen in late 2024. The analyst said overall market activity is now approaching levels last seen in the later stage of the 2023 bear market.
Binance recorded more than $35 billion in spot trading volume in July, but that was still far below the $246 billion posted in November 2024. Over the same period, spot volume on Bybit, Coinbase and OKX fell 85%, 61% and 67%, respectively. Darkfost said the contraction is not limited to one venue and reflects a broader global trend.
On the macro side, the report pointed to the escalation of conflict between the United States and Iran as a drag on risk appetite. Inflation pressure has also strengthened concerns that higher interest rates could stay in place for longer, weighing on risk assets including Bitcoin. At the same time, equities had been absorbing market liquidity, while strong performance in technology stocks diverted attention and capital. The analysis said Bitcoin would need an improving macro backdrop and a recovery in market demand to return to a clear uptrend.
Bitcoin spot trading volume continued to decline in July, with activity across major exchanges dropping sharply from late-2024 highs and nearing levels seen in the later phase of the 2023 bear market, according to CryptoQuant analyst Darkfost on July 28.
Binance posted more than $35 billion in spot volume in July, but that remained well below the $246 billion recorded in November 2024. Over the same period, spot trading volume on Bybit, Coinbase and OKX fell 85%, 61% and 67%, respectively. Darkfost said the drop in trading activity is not isolated to a single exchange, but reflects a broader global trend.
Macro pressure weighs on risk appetite
At the macro level, the escalation of conflict between the United States and Iran has weighed on risk sentiment. Inflation pressure has also reinforced concerns that high interest rates may stay in place longer, creating a tougher backdrop for risk assets including Bitcoin. Equities had also been drawing in market liquidity, while strong performance in the technology sector diverted attention and capital away from crypto markets.
Recovery in macro conditions and demand remains key
The analysis said Bitcoin would still need better macro conditions and a recovery in market demand to regain a clear upward trend.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
