Bitcoin trading volume declines again to a review
Data show that the Bitcoin trading volume is now again moving sideways to a low average value as the activity on the network slows down to a review.
Bitcoin’s average daily trading volume goes back to below $ 4 billion
According to the latest weekly report from Arcane Research, the 7-day average BTC spot volume has again moved flat over the past week.
“Trading volume” is an indicator that measures the total amount of Bitcoin that changed hands on the Bitcoin network in a given day.
When the value of this calculation goes up, it means that the total number of coins involved in transactions in the chain is going up right now. Such a trend suggests that the BTC blockchain is gaining more activity now.
Related reading | Bitcoin Bear Market sends chain measurements into a sideways trend
On the other hand, declining values on the indicator may mean that the general trading interest around the crypto may decline as activity on the network decreases.
Now, here’s a chart showing the trend in the 7-day average daily Bitcoin trading volume over the last year:
The value of the indicator seems to have been quite low in recent days | Source: Arcane Research's The Weekly Update - Week 26, 2022
As you can see in the graph above, the daily trading volume for Bitcoin spot showed a major peak in June. Since then, the value of the metric has fallen.
Over the last seven days, the value of the indicator has been less than $ 4 billion, which is much lower than the average for the past year. This is despite the fact that the market sees some volatility during this period.
Related reading | Was Dan Peña right that Bitcoin (BTC) is dead? Small quality projects like Gnox (GNOX) seem to be a new Crypto VC Haven
On Thursday and Friday, peaks were observed above $ 5 billion, but the very low weekend volumes of only $ 2 billion negated the effect of these high values.
Saturday saw in particular the lowest daily value since the beginning of June. The report notes that the low volumes were probably affected by the weekend of July 4 in the United States.
BTC price
At the time of writing, Bitcoin’s price is floating around $ 20.5k, up 8% over the last seven days. Over the past month, the crypto has lost 33% in value.
The chart below shows the trend in the price of the coin over the last five days.
Looks like the value of the crypto has been going up over the last few days | Source: BTCUSD on TradingView
After struggling around the $ 19k value for a while, it seems that Bitcoin has finally started to do something above the $ 20k level in recent days.
Featured image from Kanchanara on Unsplash.com, charts from TradingView.com, Arcane Research
