Institutional interest in cryptocurrencies such as Bitcoin has been increasing in the past few months, with mainstream interest in the cryptocurrency industry. As a result, the largest crypto, Bitcoin, exploded in the first half of 2023, as its trading volume on various exchanges crossed $4.2 trillion.
Bitcoin Sees Highest Trading Volume In March
According to data from bitcoinity.org, BTC trading volume on exchanges during this whole first half of the year eventually exceeded $4.2 trillion, with March recording the highest monthly BTC trading volume of $1.2 trillion.
Last year was a tough year for Bitcoin, which was mirrored by the rest of the cryptocurrency industry, as it appeared to be caught in a bear market season. Market analysts had initially projected a further decline for BTC, however, the price started to rebound in April this year, crossing $30,000 for the first time this year.
This was Bitcoin’s first highest price in 12 months, signaling renewed vigor in the bullish market. Although this bullish sentiment was a little short-lived, with BTC dipping back down to $28,000. Statistics show that Bitcoin trading volume went back down to $492.9 billion during this period,
However, things started to change in June, as news came out that several investment companies like BlackRock, Fidelity, and Invesco were filing Bitcoin spot ETF applications with the SEC. This sparked hope that mainstream investors will soon gain access to Bitcoin exposure, propelling the price of BTC back over $30,000 in late June and a 13-month high of $31,500 in July.
BTC price holding above $30,000 | Source: BTCUSD on TradingView.com
Volatility And Price Action: What To Expect In H2 2023
The second half of 2023 is expected to be a wild ride in the world of crypto and Bitcoin. With BTC volumes crossing $4.2 trillion in the first half of 2023, it’s clear that mainstream interest in the cryptocurrency is surging. While investment companies like BlackRock have updated their filings with the SEC for spot Bitcoin EFTs, investors wait to see what comes next. If approved, spot Bitcoin ETFs will be a major turning point for the crypto, as Bitcoin currently holds 49% dominance in the industry.
Bitcoin’s price has already increased by more than 50% since the beginning of the year and is presently trading at over $30,300 following the news of the ETF filings.
According to data from the on-chain analytics firm Glassnode, the 1+ years old supply HODLers of BTC is now at a new all-time high of 13.4 million BTC as more investors opt to hold for the long-term.
Also, as expectations around the ETFs rise, prices are expected to rise. If this happens, this will lead to increased participation from investors, translating to possibly higher trading volumes for Bitcoin.
Featured image from iStock, chart from TradingView.com
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