Topic: How do you interpret low trading volumes that we see lately? - page 2. (Read 262 times)

Could it be because Binance paused withdrawals? They have been doing this on and off and updating for their LN integration AFAIK.

It could also be because of the high transaction fee which we have been avoiding to send BTC as well. Or the market is really displaying the data where BTC is now less and less being traded as more holders and keeping on private wallets. Yup many investors seem to be preparing for their halving and they are hodling.

When there are large trading volumes on the market, this tells us that the price of the coin is more fair.
If the price is not confirmed by trading volume, then  then we will see either a bearish trend with an increase in trading volume, or a bullish trend with an increase in volumes.
Fees on the Bitcoin blockchain have already declined and therefore BRC-20 tokens should not have a strong impact on trading.

Dear op, have you not heard about the Ordinal problem that has caused many transactions to wait for so long even with the high fees? This has discouraged transaction makers to avoid making transactions in BTC even i have read a topic on this platform where a member shared his story of "How he stopped accepting payment in BTC due to a High fee problem". If you are not familiar with this issue then i recommend you to read this topic which might clear things up for you. -->"Why BTC Transactions Fees are Skyrocketing? ".
Like, the fee for one transaction has reached around 32$ which is unbearable for every sector that was accepting BTC as payment or sending salaries in BTC. As this problem is slower than before so we might see more volume in the coming days. If this ordinal problem again congested the Meme pool then it might decrease the trading volume of BTC.

This will again affect the price of BTC and there is one more positive way to take it all as good, which is, when those airdrop hunters (investing a hell lot of money in these BRC-20 tokens) will face the consequences of losing money then those who made a hell lot of money by selling these BRC-20 tokens will definitely going to buy BTC again and this will again boost the trading volume of it and you will be happy again.

This is not a hallucination this is facts and everyone will say the same as OP said when they will see the numbers. As trading volume is really decreased due to the fee problem and this fee problem caused Binance to cease withdrawals for temporarily in the past few days (i don't remember the exact date now but you will definitely find some news on it).

There could be many factors to think of but one of it is that it's possible that the typical traders are just quite off and don't want to trade lately. Like it's better not to trade at all at these times and will just wait for what's going to happen for Bitcoin.

No one will actually ever know the main reason why volumes have gone low lately. But, it's not going to be the same as that, just like people that are in the business. Sometimes, it's a good time and sometimes it's seen that the market is slack.

No one knows why trading volume is pretty low but I think it's because no news could influence traders to buy or sell and I don't see any events that could impact the trading volume.

Or maybe it's due to recent events mothers Day and pizza day.

For some reason, maybe I just don't know why, lately I see very low trading volume for BTC in Binance.



I've quickly checked other exchanges, they are also do not have more volume comparing let's say 1.5 month ago.

So why do you think volume is so lo and what does it mean for the market? Is there more and more people hodling or something else going on there?