Recent analytics demonstrate a remarkable surge in altcoin trading, coinciding with Bitcoin’s recent price highs, and notably, Binance has emerged as the leading exchange in this activity.
Surge in Altcoin Activity on Binance
A report from CryptoQuant highlighted the significant shift in trading volume across the cryptocurrency landscape following Bitcoin’s peak performance.
This trading volume encompasses the total amounts of specific cryptocurrencies that are actively being traded on major exchanges, particularly in the spot market.
Below is a visual representation showcasing Bitcoin’s trading volume trends:
The graph clearly illustrates that Bitcoin’s trading volume skyrocketed at its all-time high, signifying a surge in trader activity.
Interestingly, while both Binance and other exchanges experienced increased volume during this surge, a notable trend emerged post-ATH: other exchanges saw a decline in trading volumes, whereas Binance maintained a strong performance, enhancing its market share.
“Binance’s market share of spot trading volume advanced from 39% before the ATH to 48% the following day,” reports CryptoQuant. This indicates a sustained dominance for Binance, despite an overall downturn in trading volume across all platforms.
While Bitcoin trading volumes appeared stable post-ATH, the altcoin market flourished during the same timeframe.
As depicted in the chart, altcoin trading volumes across Binance surged in parallel with Bitcoin’s peak, yet exhibited a stark difference; they did not face the same post-peak decline that Bitcoin did.
This behavior has resulted in a price divergence, with assets such as Ethereum (ETH), XRP (XRP), and Dogecoin (DOGE) witnessing significant increases, while Bitcoin has remained relatively stagnant.
Following Bitcoin’s ATH, Binance also experienced an uptrend in altcoin trading volume. “In the days after Bitcoin reached its all-time high, Binance’s dominance in altcoin trading peaked at 49%,” the analytics firm detailed.
State of Bitcoin Prices
Currently, Bitcoin displays a steady price trend, lingering around the $118,000 level.
