Matrixport: Compared to market cap expansion, cryptocurrency trading volume is unusually low, indicating that Bitcoin may have entered a phase of a bear market

BlockBeats News, November 12th, Matrixport published a market view stating, "Compared to market cap expansion, cryptocurrency trading volume is unusually low. Over the past 12 months, the market cap has risen from $2.4 trillion to $3.7 trillion, while the average daily trading volume has shrunk from $352 billion to $178 billion (a 50% decrease). The shrinking trading volume reflects a cooling market participation, weakening momentum, and constitutes a structural caution signal."

"On-chain signals indicate that Bitcoin may have entered a phase of a bear market, and although there have been catalysts, the short-term momentum may not be sufficient to sustain an upward trend. In a low liquidity and weak bias environment, trading platforms are under significant pressure, and market activity and trading revenue continue to be suppressed."