The market depth for bitcoin (BTC) and ethereum (ETH) on the three exchanges Coinbase, Kraken, and Gemini has improved since the beginning of 2020, indicating that the two major cryptoassets are becoming mature, according to crypto analytics provider Coin Metrics.
The finding that the market for both BTC and ETH is maturing was described as important by the analysts, given that it gives large financial institutions with more sophisticated trading and execution strategies a chance to trade the assets with minimal slippage costs.
“Significant liquidity across many exchanges means that one particular market order will have less of an impact on the prevailing market price,” a report from Coin Metrics said. It added that more liquidity also
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