Bitcoin Posts a Record $46.26 Billion Spot Trading Volume Amid Rising Retail Interest
Summary:
On March 5, Bitcoin (BTC) posted a record $46.26 billion in spot trading volume across major exchanges, indicating increased interest among retail investors. The trading volume cooled to $31.32 billion on March 6, with Binance accounting for over 74%. This matches a surge in daily inflows for Bitcoin's spot ETFs, which recorded a $10 billion daily trading volume, setting a new milestone. Bitcoin also experienced a price surge, hitting an all-time high of $69,200. South Korea too observed a rise in Bitcoin's price, reaching $72,000. Additionally, there's a growing trend in Bitcoin transfers to Coinbase, the US's largest exchange, implying possible profits-taking by investors.
On March 5, Bitcoin (BTC) marked a tremendous point in its spot trading history, achieving an impressive $46.26 billion turnover across major centralized exchanges. This indicates a growing interest in the inaugural cryptocurrency among small-scale investors. The notable Bitcoin trading volume petered out slightly on March 6, tallying $31.32 billion, with Binance playing a massive role, contributing over 74% or $18 billion of the day's Bitcoin trades.
As pointed out by Bitwise's quantitative research associate, Mallika Kollar, in a social media post on the same day, Bitcoin purchasing has surged approximately 680% since the year's commencement. The massive influx matched with an unprecedented rise in daily inflows for Bitcoin's spot exchange-traded funds (ETFs). On March 5, the daily trading figures recorded by ten U.S. Bitcoin spot ETFs totaled a whopping $10 billion, dwarfing the previous week's record of $7.7 billion.
Bloomberg ETF analyst Eric Balchunas referred to these numbers as astonishing, especially considering the ETFs were less than two months old. This sharp increase in both exchange and ETF volumes led to Bitcoin's price climbing to a remarkable $69,200 on March 5. As of 1:30 pm (UTC), the price was a slightly reduced $66,878, representing a 1.09% rise within 24 hours, based on the stats provided by CoinMarketCap.
Bitcon's popularity in South Korea seems to be escalating too, reaching a high of $72,000 on March 5, as per Upbit, the country's largest cryptocurrency exchange. The price hike, also known as the Kimchi Premium or Korea Premium Index, has been steadily accumulating since early February, reportedly driven by retail spot buying since South Korea hasn't approved any spot Bitcoin ETFs.
CoinGlass data highlighted a surge in Bitcoin adopters, recording more than 35 million addresses holding at least $10 worth of Bitcoin as of March 6. Matching this retail push, internet searches for Bitcoin have also gone up, with Google Trends reporting an average of 80 searches worldwide between March 3 and 9, an increase of over 31% compared to when Bitcoin hovered around $20,000 last year.
Finally, the chart above illustrates that Bitcoin transfers to Coinbase, the largest U.S. exchange, are also following an upward trend. This indicates that investors may be preparing to rake in profits at the current price levels. However, such spikes have also been common during market peaks, as experienced in 2016-17. Please note that this report is for informational purposes only; readers are advised to conduct their research before making any trading or investment decisions.
Published At
3/7/2024 6:32:06 PM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.