Trading Volumes on Centralized Exchanges Decline 17% in Sept, Binance Market Share Hits 4-Year Low
Jai serves as the Asia Desk Editor for Cryptonews.com, where he leads a diverse team of international reporters. Jai has over five years of experience covering the web3 industry.
September saw a significant decline in trading activity across centralized exchanges, with combined spot and derivatives trading volumes dropping 17% to $4.34 trillion, as per the latest CCData report.
This marks the lowest monthly trading volume since June, driven largely by the end of the seasonality period, which is typically characterized by reduced market participation. Both spot and derivatives markets experienced declines as traders remained on the sidelines in the face of macroeconomic uncertainty.
Spot trading volumes fell 17.2% to $1.27 trillion, also the lowest level since June. Similarly, derivatives trading volumes on centralized exchanges declined by 16.9% to $3.07 trillion.
However, market analysts are optimistic that the current lull will reverse in the coming months, with potential catalysts like increased market liquidity following a U.S. Federal Reserve interest rate cut and the upcoming U.S. presidential election expected to boost trading activity.
Historically, the fourth quarter has been the strongest, recording the highest quarterly volumes in six of the last ten years.
Among centralized exchanges, Binance saw the most significant decline, with its spot trading volume plunging 22.9% to $344 billion. This marks the lowest monthly spot trading volume on the exchange since November 2023 and brings its spot market share down to 27%, the lowest level since January 2021.
In the derivatives market, Binance’s trading volume also dropped 21% to $1.25 trillion, hitting its lowest levels since October 2023. Binance now holds a 40.7% share
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