Crypto Trading Volume Slumped To Lowest Level of the Year In August (bloomberg.com) 35
An anonymous reader quotes a report from Bloomberg: Cryptocurrency trading volume declined in August to the lowest level of the year, another sign of waning investor interest since the collapse of digital asset prices from all-time highs in late 2021. The combined monthly volume of so-called spot and derivatives trading fell 11.5% to $2.09 trillion, and was the second-lowest monthly total since October 2020, according to data compiled by CCData. "The (spot) trading volumes on centralized exchanges have remained low since April this year and are now comparable to the stagnant trading activity in the bear market of 2019," CCData said in a report published Thursday.
The tepid interest appears to be carrying into September, with crypto bellwether Bitcoin little changed through much of the first week of the month. Bitcoin, which accounts for about half of crypto's $1 trillion market capitalization, was little changed at around $25,800 on Thursday. It almost reached $69,000 in November 2021. [...] While Binance remains the largest exchange for crypto spot trading, its market share shrank for the sixth straight month, settling at 38.5%, the lowest since August 2022, according to CCData.
The tepid interest appears to be carrying into September, with crypto bellwether Bitcoin little changed through much of the first week of the month. Bitcoin, which accounts for about half of crypto's $1 trillion market capitalization, was little changed at around $25,800 on Thursday. It almost reached $69,000 in November 2021. [...] While Binance remains the largest exchange for crypto spot trading, its market share shrank for the sixth straight month, settling at 38.5%, the lowest since August 2022, according to CCData.
The end of Tulip Mania? (Score:5, Insightful)
Took a really long time. Hard to believe that so much effort, money and resources wasted over the years. Price-wise, another leg up into $30-$35K for bitcoin is possible before the collapse. But the volumes aren't coming back - not enough suckers left.
Re:The end of Tulip Mania? (Score:4)
Who could have guessed that the technology that does literally nothing except trade magic jelly beans wouldn't succeed. The best unique strings I've ever seen! Man, you've never seen strings like these, so awesome!
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Interesting how the article mentions the previous low volume in October 2020... that was right before Bitcoin climbed from 12000 to 60000.
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Slashdot has been calling for the imminent collapse of bitcoin since it's inception.
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Both calling for and predicting.
The former is logical, the latter is not. As long as there's a way to squeeze a nickel out of it, it will keep going.
I don't think so (Score:3)
Worse there's been some rulings that open the door to selling crypto backed securities similar to the mortgage backed securities that caused 2008. There's a ton of money to be made there fleecing rubes, draining public pensions and passing the buck. So until that runs it's course we're stuck with t
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It might go in generational cycles. You need enough time for new, inexperienced investors with at least a little money to hit the market. It will never match the unbridled growth that you got by going from "nobody has heard of it" to "household word"; but BTC anyway is "digital gold" and hope always springs eternal there. The real killer is that the secular bull in T-bonds might be over. Low rates drove people in to speculative assets. I'm waiting to see what happens with the next business cycle where
But BTC will be world reserve currency! (Score:2)
...or maybe it's just another speculative asset that only rises when the hype train gains traction and then every bag holder sells to whoever they can?
As a crypto trader since 2013 I'll swear it's going to be the next reserve currency, I'll support the paradigm shift stock to flow BTC to 600 billion per coin BS because as a trader I know it's really just a cyclical speculative asset that pumps and
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dollar is going to zero ... next reserve currency ... to 600 billion per coin ...
Just what you said is logical nonsense you realize?
All this is just mental gymnastics nonsense to "invest". It was always about the greater fool when people "bought/invested" in bitcoin hoping to sell for higher than they bought it for.
Not saying its good/bad. I buy WXYZ ETFs for the same exact reason. I have no grand illusions about anything other than that I will in the future sell for higher than I paid it for.
The extra spi
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A decade ago, Bitcoin was $10.
It's $25,000 now.
There is only one ledger that matters, and that's Bitcoin, now backed by a 400 exahash network. It has one purpose, to tally and account for value. It is perfect, permissionless, money.
Keep being salty, I was salty after Gox - have to laugh about it - but I realized it wasn't going away.
Never know what might catch on. Maybe get some just in case. Or not.
What the US debt now?
Cheers.
Canny big investors rug pulled (Score:5, Insightful)
Crypto was treated as just another asset by the biggest financial players, a fairly minor asset even at the market cap height.
For them, it was like taking candy from a baby.
Back when any regulations had yet to take place, the market was heavily manipulated - constantly, automated - easy money.
The market could be setup to pump and dump with such ease by these forces.
Chump change for the top operators - "invest" say, $10,000,000 in any relatively popular coin - didn't matter which - watch the feeding frenzy as retail investors wanted a slice of the action "It's pumping, to the moon!" - wait for the optimum return, rug pull and take the profit.
Rinse and repeat.
With that kind of financial leverage and automation, it was a money printing machine.
The vast majority of retail investors saw their asses and thus the market has since slumped.
This happened a few times over the years, it's unlikely to happen again.
In all that time - we're now on a decade - not one single useful service has been created on the blockchain. Not one.
The vast majority of services created were all part of the big circle jerk - they were all related to buying and selling.
Much coolaid of many different flavours was drunk, people like buterin and hoskinson really seemed to believe the bullshit they were peddling.
It was all snake oil.
Re: Canny big investors rug pulled (Score:2)
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Yeah, and most of it is big whales siphoning away your money.
But you keep believing in the investment for the little guy. Buy the dip! And HODL!
Re: Canny big investors rug pulled (Score:2)
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If you remove the wash trading, how much is left?
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According to the National Bureau of Economic Research (located in the US, but not a US government agency), wash trading made up around 70% of cryptocurrency trades in 2022 [nber.org].
From the abstract:
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In all that time - we're now on a decade - not one single useful service has been created on the blockchain. Not one. The vast majority of services created were all part of the big circle jerk - they were all related to buying and selling."
That's the incredible thing, all that money, all that hype, and the biggest invention anyone could come up with was putting a hyperlink to a jpeg file hosted somewhere else.
There is not a single piece of software that generates any real economic value of any kind running on a blockchain.
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This happened a few times over the years, it's unlikely to happen again.
That's optimistic. Hope runs eternal.
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This happened a few times over the years, it's unlikely to happen again.
That's optimistic. Hope runs eternal.
Well, maybe...
The thing is, cryptocurrency is well out of the general publics line of sight now.
There was a time when even the generally uniformed would at least of heard of bitcoin.
In tech, lots of chatter about it in years past, with some admitting to investing and others rightfully pointing out it was snake oil.
I got curious, I dabbled - was up, down and eventually broke even - it didn't take me long after learning "the ropes" to realise I would never make money on these "markets", simply because I didn'
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Was I stupid to get involved? Maybe. But at least it gave me a very good understanding of what greed can do.
As long as you didn't lose too much money, you're good. If you learned from it, you're better.
The thing is, cryptocurrency is well out of the general public's line of sight now.
There are always more people. Think of how long the multi-level marketing schemes lasted. Crypto-currency might go underground for a while, but there is fertile ground for a resurgence, especially for bankers who are always looking for more assets to sell.
I'm not saying you should buy, I think there are plenty of better places to put your money. Just that you shouldn't expect the craze is already over.
In the words of Jeremy Clarkson (Score:1)
"Oh no! Anyway..."
People realizing it's too easy to fail (Score:3)
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But I'm smart! I'm the one scamming all the other guys!
Oh the Humanity (Score:2)
Maybe-? (Score:1)
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It's almost like schemes such as crypto and the orgy of venture capital money chasing after silly companies was all a house of cards propped up by an unprecedented period of near zero interest rates. Now that things are back to normal (and not returning) companies and investors have to make careful considerations as to where they put their money.
Crypto In A Slump? (Score:2)
Say it isn't so !
What crypto needs is SBF & Caroline to get back in the game and ...
pump up the volume !
Pump Up The Volume !
PUMP UP THE VOLUME !
Trade TRADE !
People don't have expendable income anymore (Score:2)
Beanie babies (Score:2)
Wow, this did not even last as long as beanie babies!
Now we just need the Bourbon and Whiskey secondary market to completely crash, and nature can go back to healing again.
This is good for Bitcoin (Score:2)