Trading Volume on Centralized Exchanges Reaches Lowest Level Since December 2022: Report
Centralized exchanges witnessed a significant decline in trading volume in September, marking the third consecutive month of decreasing activity.
According to a recent report by researcher CCData, the combined spot and derivatives trading volume on these exchanges dropped by 20.3% to reach $1.67 trillion.
This figure represents the lowest monthly trading volume recorded since December 2022.
The decline can be attributed to a lack of market volatility and the seasonal effects typically observed in the third quarter, resulting in the lowest quarterly volumes since the fourth quarter of 2020.
The report also revealed that spot trading volume on Binance, one of the leading centralized exchanges, experienced a notable decline of 36.8% in September, amounting to $115 billion.
This marks the lowest monthly volume recorded by the exchange since October 2020 and the third consecutive decline in volumes since June.
The decrease in trading volume was further exacerbated by the halt of the zero-fee trading promotion for BTC-TUSD pairs implemented last month.
In the derivatives market, Binance also experienced a decline in trading volumes.
Derivatives trading volume on Binance fell by 20.8% to $686 billion, representing the lowest monthly volume recorded since December 2020.
Despite the decline, Binance remains dominant in the derivatives market with a market share of 51.5%. However, this figure is the lowest it has been since March 2022.
Overall, the derivatives trading volume on centralized exchanges declined by 17.7% to reach $1.33 trillion in September, marking the lowest monthly derivatives trading volume since December 2020.
The market dominance of derivatives trading on centralized exchanges has reached a new all-time high of
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