Fun

Crypto Derivatives Volumes Crash 36% to $393 Billion in June, a Low for 2020

News Feed - 2020-07-07 12:07:47

Crypto Derivatives Volumes Crash 36% to $393 Billion in June, a Low for 2020


Crypto derivatives trading volumes plunged 36% to $393 billion in June, the lowest they have reached in 2020, according to a new report by Cryptocompare.


The decline may be the result of a lull in investor interest in the instruments during the month in review.


In May, derivatives – contracts signed by at least two people to buy or sell a digital asset at an agreed price in the future – soared to a record high $602 billion, possibly driven by the hype that accompanied Bitcoin’s third halving in that month.


Total spot volumes fell fastest, however, sliding 49% to $643 billion in June from $1.27 trillion the previous month, said the London-based data analytics firm.


The bulk of spot trading happened on exchanges considered by Cryptocompare as low-tier and unregulated, accounting for $466 billion of the volume while top-tier exchanges traded $177 billion.


“Spot volumes have gradually dwindled throughout the month of June, now representing roughly half of the daily volumes seen in the previous month,” notes the report, published July 6.


In June, derivatives share of the cryptocurrency market rose to 37% compared to 32% in May and 27% in April. Cryptocompare said all crypto derivatives exchanges saw large decreases in trading volume last month.


Bitmex reported the biggest decline of 50% to $51.6 billion while the Chicago Mercantile Exchange (CME), which focuses on institutional investors, posted the least decrease, with trading volume dropping 17% to $6.7 billion.


However, Huobi accounted for the largest trade volume of $122.4 billion, down 38% from a month earlier. Okex and Binance followed with $107 billion and $86 billion worth of trades, respectively. Both the exchanges reported volume decline of over 30%. At Deribit, volumes crashed 43% to $8.8 billion.


Institutional options volumes on CME hit a record monthly high of 8,444 contracts traded, up 41% since May. The regulated exchange said futures volumes, as measured by the number of contracts, fell 23% to reach 128,258 in June.


Deribit monthly options volumes tanked 17.8% to about $2.5 billion in June, “but this is less of a decrease than seen on other derivatives exchanges that only offer futures products,” Cryptocompare observed.


What do you think about the declining crypto trading volumes in both the derivatives and spot markets? Let us know in the comments section below.Bitcoin Investors Pocketed 42% in Gains During the Second Quarter of 2020MARKETS AND PRICES | 6 days agoRecord Breaking Unmoved Bitcoin Data Sparks Expectation of Imminent Bull RunMARKETS AND PRICES | 7 days agoTags in this storyBinance, bitcoin futures, bitcoin options, Chicago Mercantile Exchange, crypto derivatives, Crypto spot trading, Cryptocompare, deribit, Huobi, Okex


Image Credits: Shutterstock, Pixabay, Wiki CommonsUse Bitcoin and Bitcoin Cash to play online casino games here.Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.Read disclaimer Show comments

News Feed

MEXC’s Changing for You | The 1st Exchange to Launch a Zero Maker Fee Event for Futures Orders
MEXC"s Changing for You | The 1st Exchange to Launch a Zero Maker Fee Event for Futures Orders press release PRESS RELEASE. In September of this year, blockchain media outlet, Coint
Ripple CEO’s Public Statements About XRP Token Under Fire in Class-Action Lawsuit
Ripple CEO"s Public Statements About XRP Token Under Fire in Class-Action Lawsuit Plaintiffs in the class action lawsuit against Ripple Labs have filed another litigation complai
Bitcoin hashrate drawdown reaches December 2022 levels
Vince Quill2 hours agoBitcoin hashrate drawdown reaches December 2022 levelsThis metric can be used to spot relative bottom points in the market price of Bitcoin and signal potential accumulation opportunities.1664 Total
Top Finiko Crypto Pyramid Executive Arrested in Russia’s Tatarstan
Top Finiko Crypto Pyramid Executive Arrested in Russia’s Tatarstan A high-ranking representative of Russia’s notorious Finiko Ponzi scheme has been arrested in Tatarstan.
Web3 venture funding stabilizes after rocky 2023 — Crunchbase
Alex O’Donnell5 hours agoWeb3 venture funding stabilizes after rocky 2023 — CrunchbaseLarge funding rounds are still few and far between in Web3, according to Crunchbase.497 Total views9 Total sharesListen to article
HECO Chain exploiter anonymizes $145M of Ether on Tornado Cash in 8 days
Arijit Sarkar13 hours agoHECO Chain exploiter anonymizes $145M of Ether on Tornado Cash in 8 daysIn its largest transaction, the HECO Chain exploiter sent 11,300 ETH worth roughly $39.5 million in one transfer.868 Total
OCC Chief Says Americans Gravitating Toward Digital Currencies: Urges Banks to Embrace Innovation
OCC Chief Says Americans Gravitating Toward Digital Currencies: Urges Banks to Embrace InnovationBrian Brooks, the acting comptroller of currency at the U.S. Office of Comptroller o
Russia May Allow Crypto Mining and Gold-Backed Stablecoins, Lawmaker Says
Russia May Allow Crypto Mining and Gold-Backed Stablecoins, Lawmaker Says Russia can legalize cryptocurrency mining and stablecoins backed by gold under government control, a high-
Zimbabwean Blockchain Startups Launch Service to Help Migrants Efficiently Move Funds Across Borders
Zimbabwean Blockchain Startups Launch Service to Help Migrants Efficiently Move Funds Across Borders Two Zimbabwean startups, Flexid and Uhuru Wallet, recently launched a platform
DMEX: No-KYC Derivatives DEX With up To 100x Leverage
DMEX: No-KYC Derivatives DEX With up To 100x Leverage DMEX is a decentralized anonymous margin trading exchange that doesn’t require KYC checks, simply gen
Treasury Secretary Janet Yellen: US Financial Stability Risks Could Materialize, Cites ‘Dangerous and Volatile Environment’
Treasury Secretary Janet Yellen: US Financial Stability Risks Could Materialize, Cites "Dangerous and Volatile Environment" Treasury Secretary Janet Yellen has warned that financia
Rakesh Upadhyay6 hours agoPrice analysis 8/28: SPX, DXY, BTC, ETH, BNB, XRP, ADA, DOGE, SOL, DOTThe S&P 500 is attempting a recovery, but Bitcoin and select altcoins are struggling to break above their respective res