As June begins, both the
cryptocurrency and traditional financial
markets are experiencing the usual summer trading slowdown. Historically, the third quarter sees the lowest trading volumes, with Bitcoin's trade volume being over 40% lower than the peak quarter.
In Q3 2023,
BTC-USD volumes hit a multi-year low of $44 billion, despite BlackRock filing for a spot ETF. This decline may be attributed to tightening regulations and deteriorating liquidity infrastructure following turmoil in the US banking sector.
However, the introduction of 11 spot ETFs in the US has improved
BTC price discovery and liquidity, offering some hope for better volumes this summer compared to previous years. Yet, the growing link between cryptocurrency and traditional financial markets may also increase the risk of low-volume trading.
Daily Bitcoin liquidity has become more focused on US trading hours, with volume spikes at market open (14:00 UTC) and close (20:00 UTC). This pattern is likely due to
Bitcoin ETFs calculating their net asset value (NAV) against benchmarks at the US market close, promoting arbitrage and price discovery. The share of cumulative trade volume between 19:00 and 20:00 UTC has risen to 7.2% this year, up from 4.9% in 2021. Conversely,
Bitcoin trading during Hong Kong and Sydney market closes has decreased. This concentration of liquidity in a short period could lead to increased intra-day volatility, especially during market stress.
In the past 24 hours, both Bitcoin and Ether
futures trading volumes have seen significant increases, with BTC volume up by 34.03% and ETH volume by 49.02%. Despite this, the open interest for both BTC and ETH futures has decreased, by 1.40% and 1.77% respectively. The long/short ratios for BTC and ETH futures are identical at 47.77%/52.23%, indicating a similar market sentiment for both assets. Additionally, there were more long liquidations than short liquidations for both BTC and ETH, with BTC seeing $40.73M in long liquidations and ETH experiencing $41.25M.
Total BTC Open Interest: $35.83B (-1.40%)
BTC Volume (24H): $60.01B (+34.03%)
BTC Liquidations (24H): $40.73M (Long)/$14.13M (Short)
Long/Short Ratio: 47.77%/52.23%
Funding Rate: 0.0089%
Ether Futures Updates
Total ETH Open Interest: $15.78B (-1.77%)
ETH Volume (24H): $30.90B (+49.02%)
ETH Liquidations (24H): $41.25M (Long)/$9.46M (Short)
Long/Short Ratio: 47.77%/52.23%
Funding Rate: 0.0079%
Top 3 OI Surges
IO: $34.45M (+67,553,311.76%)
GME: $2.49M (+320,278.19%)
CTK: $3.03M (+58.32%)
