- The average trading volume of Bitcoin on most exchanges has reached its highest point since June, following a federal court decision.
- According to data from Kaiko, the average trading volume for Bitcoin on the crypto exchange Kraken surpassed $2,000 after the decision was announced on Tuesday.
- As market confidence in the approval of a Bitcoin spot ETF increased, the price of Bitcoin rose over 7% to surpass $28,000 on Tuesday afternoon after news of Grayscale’s victory spread.
The average trading volume of Bitcoin has reached its highest level since June; Grayscale’s victory has increased interest.
Increasing Trading Volume in Bitcoin
The average trading volume of Bitcoin on most exchanges has reached its highest point since June, following a federal court decision stating that the U.S. Securities and Exchange Commission (SEC) should review Grayscale Investments’ attempt to convert Grayscale Bitcoin Trust (GBTC) into an ETF.
According to data from Kaiko, the average trading volume for Bitcoin on the crypto exchange Kraken surpassed $2,000 after the decision was announced on Tuesday. Research firm Kaiko stated that the average trading volume of Bitcoin was higher than $2,168 in June. The average trading volume of Bitcoin also surged on most other exchanges.
“This could indicate that larger investors are more active,” said Kaiko analyst Dessislava Aubert. As market confidence in the approval of a Bitcoin spot ETF increased, the price of Bitcoin rose over 7% to surpass $28,000 on Tuesday afternoon after news of Grayscale’s victory spread. The price has since pulled back just above $27,100. Aubert continued:
“This is one of the largest hourly movements seen since Terra (the other was the selling pressure on August 17). This was partly due to low liquidity. For now, overall volumes haven’t increased that much and are at their highest levels since the selling pressure on August 17.”
Bitcoin Crash on August 17
Bitcoin dropped by approximately 9% on August 17 and briefly fell below $25,000 on the crypto exchange Binance. On the same day, as digital asset markets experienced one of the worst selling pressures of the year, crypto traders suffered losses in $1 billion liquidations, and the price of Bitcoin fell to its lowest level in two months.
