Markets
Centralized Crypto Exchange’s Trading Volume Drops to $5.2 Trillion in May — TradingView News
According to the latest report from CCData, in May 2024, the cryptocurrency market saw a significant decline in both spot and derivatives trading volumes.
Over the month, overall trading volume on centralized exchanges fell 20.1% to $5.27 trillion. This decline marks the second consecutive month of reduced trading activity, led by Bitcoin’s rangebound price BitcoinUSD after the network was halved in April
Spot trading volumes on centralized exchanges fell 21.6% to $1.57 trillion. The derivatives market also saw a decline, with volumes falling 19.4% to $3.69 trillion. Despite this downturn, derivatives market dominance increased to its highest level since December 2023, as traders responded to the U.S. Securities and Exchange Commission’s unexpected approval of Ethereum spot exchange-traded funds. This has led to a record level of open interest for Ether 
Over the course of the month, cryptocurrency exchange Bybit hit a new all-time high in spot market share of 7.36%, despite a 12.7% decline in spot trading volume to $116 billion. Binance maintained its position as the largest spot exchange with a 34.6% market share, even as its volumes fell 19.8% to $545 billion.
In the derivatives market, Binance’s dominance grew to 45.4%, trading $1.68 trillion in monthly volume, followed by OKX and Bitget with market shares of 21.3% and 14.5%, respectively.
At the same time, the US stock exchange CME recorded a mixed performance. While overall derivatives trading volume fell 7.42% to $115 billion, ETH futures volumes increased 37.5% to $20.5 billion, the highest since November 2021 ETH options trading volume also hit a new all-time high, rising 115% to $931 million. , reflecting what researchers say is “increased institutional interest” following the SEC’s approval of the Ethereum spot ETF.
While trading activity has increased due to the surprise approval of Ethereum spot ETFs in the US, it appears that traders are reacting to the event as “buy the rumor, sell the news.” Since the ETF’s approval, cryptocurrency exchanges have seen more than $3 billion in exits from Ethereum positions. That said, some analysts believe Ether could surpass its November 2021 all-time high of $4,870 once spot Ether ETFs begin trading, perhaps this month, due to increasing demand pressure.
Related: Mt Gox Hasn’t Dumped Bitcoin Yet, Hong Kong Starts Cryptocurrency Exchanges