Cryptocurrency
Top Cryptocurrencies Are Exponentially More Liquid Than Ever Before
Reported on Cointelegraph, “With increasing speculation in the crypto community that cryptocurrency markets are on the cusp of the next major bull season, it can be easy to lose sight of the maturation that the crypto ecosystem has undergone to get to the present moment. “When comparing the current crypto markets against the climate preceding […]
Reported on Cointelegraph, “With increasing speculation in the crypto community that cryptocurrency markets are on the cusp of the next major bull season, it can be easy to lose sight of the maturation that the crypto ecosystem has undergone to get to the present moment.
“When comparing the current crypto markets against the climate preceding the previous bull run, many top markets have seen volume gains by a factor of multiple thousands, evidencing a significant expansion in market liquidity.
“As of Feb. 15, 2017, Bitcoin (BTC) was the single-most traded crypto asset, having generated $89.76 million worth of trades over 24 hours. 12 months later, amid the fallout from the all-time highs posted during December 2017, BTC had seen a 100-time gain in trade activity, posting a 24-hour volume of $171.48 billion. By contrast, the market capitalization of BTC had grown by 10 times over the same period, highlighting the dramatic growth in liquidity relative to capitalization during the bull trend.
“However, the ensuing bear trend saw Bitcoin trade activity shrink by one-third, with $6.09 billion worth of BTC changing hands during Feb. 15, 2019. The capitalization of BTC also saw a significant decline during 2018, having plummeted 62.9% in 12 months.
“As of Feb. 19, 2020, BTC is the second-most traded crypto asset despite seeing a 667% gain in trade activity, with BTC pairings garnering $46.71 billion worth of trades over the past day. Over the past year, BTC has also seen its market capitalization grow by approximately 200%…”