The monthly trading volume of Bitcoin has continued showing bearish trends, falling below USD 1.5 billion. In the second quarter of 2022, Bitcoin had a combined trading volume of USD 2.8 billion.
The Bitcoin (BTC) trading volume in Q2 2022 was one and a half times lower than in Q2 2021. That collapse was due to the sharp drop suffered by the prices of cryptocurrencies.
Lower investor interest has led the value of Bitcoin to continue hovering around USD 20,000. In the second quarter of 2022, the trading volume of the cryptocurrency was about USD 2.84 billion.
The trading volume of around USD 5.01 billion registered between April and June 2021 has suffered a 43% drop.
The Drop in the Trading Volume Indicates a Broader Crypto Market
The drop in investor demand for Bitcoin may have caused a downtrend in the overall decentralized finance (DeFi) market. That situation has led to a 60% decline in the capitalization of the overall market.
The trading volume of Bitcoin in 2021 was about USD 1.84 billion and had a one-day high of around USD 97.47 billion. Investor interest in the pioneering cryptocurrency dropped sharply after the decline in volumes it suffered in the first quarter of the year.
The volume of Bitcoin transactions in April was USD 830.12 billion, with a one-day high of USD 39.39 billion.
In May 2021, the trading volume of the cryptocurrency was USD 1.98 billion, with a one-day high of about USD 126.36 billion. The crash of the Terra (LUNA) ecosystem led to a considerable drop in the prices of all crypto assets. The volume of transactions in that period fell to USD 1.09 billion and peaked at USD 70.39 billion within 24 hours.
The trading volume of Bitcoin in June 2021 was about USD 1.19 billion, with a high of USD 58.96 billion in a single day. Although several market analysts gave bullish forecasts, the price of BTC continued its bearish trend, trading at between USD 17,708.62 and USD 31,957.28.
The Bitcoin trading volume was about USD 923.94 billion, reaching a one-day high of USD 68.2 billion in Q2 2022.
The Drop in the Trading Volume Affects Bitcoin in Q2 2022
The price of Bitcoin opened in April at USD 45,554, reaching a quarterly high of USD 47,313.48 three days later. It tested a quarterly low of USD 17,708.62 and closed the second quarter at USD 19,784.43.
In general, that is equivalent to a decline of 56% between the opening and closing price of BTC in Q2 2022.
In contrast, Bitcoin opened April 2021, trading at USD 58,926.56, hitting a quarterly high of USD 64,863.10 fourteen days later.
That represents a 40% decline between the opening and closing price of the pioneering cryptocurrency in Q2 2021.
BTC is trading at around USD 20,155 and has accumulated a 2.0% gain over the last seven days. While its daily trading volume is above USD 23.21 billion, its market capitalization is about USD 385.86 billion, according to CoinGecko.
By Alexander Salazar
