$300B in Bitcoin volume, but U.S. traders bet against BTC – Here’s why
**Key Takeaways**
– The recent surge in Bitcoin trading volume above $300 billion indicates increased market activity, likely driven by liquidations, with sellers dominating the spot market.
– U.S. investors are influencing Bitcoin’s short-term outlook through rising outflows and bearish bets, pointing to growing downside pressure on BTC.
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**Bitcoin Trading Volume Hits $300 Billion Amid Market Liquidations**
Bitcoin (BTC) continues to fluctuate, trading around $110,000 at press time, marking a 2.84% decline over the past 24 hours. The heightened activity in trading volume has caught market watchers’ attention. Bitcoin’s trading volume recently reached its second-highest peak of the year, surpassing $300 billion. This surge is largely attributed to a liquidation cascade that occurred earlier in October.
A higher trading volume in the spot market often signals a healthier market environment, as it suggests participation from less-leveraged investors. Data from CryptoQuant reveals that Binance led global Bitcoin trading with $174.9 billion in volume. Meanwhile, U.S. investors contributed $38.5 billion across major exchanges Coinbase and Kraken.
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**Spot Market Sellers and U.S. Whales Lead Activity**
Trading volume reflects both buy and sell orders, but analysis suggests sellers dominated the market during this recent surge. Data from the spot market highlights that U.S. whales are spearheading sell-side activity. Notably, Lookonchain reports that one whale sold approximately 2,587.6 BTC (worth around $290 million) over the past ten days via Kraken — one of the largest U.S.-based crypto exchanges.
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**U.S. Investors’ Bearish Bets Add Downside Pressure**
In addition to spot market activity, U.S. derivatives investors continue to bet against Bitcoin’s short-term price potential. Data from top derivatives exchanges Kraken and Coinbase show selling volumes have dominated over the past 24 hours, surpassing 50% of total trades on each platform.
A negative Taker Buy-Sell Ratio could push prices further down, especially if these leveraged positions are large. However, the Coinbase Premium Index, which measures price differences between Coinbase and other exchanges, showed a mildly bullish reading of 0.009% at the time of writing. This indicates slight upward pressure in the spot market, suggesting some U.S. investors remain optimistic despite the broader bearish trend.
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**Market Sentiment Remains Neutral Overall**
While bearish sentiment is growing among U.S. investors, the Bitcoin market as a whole continues to show neutrality. According to a recent Glassnode report, the Funding Rate—which measures whether buyers or sellers dominate the derivatives market—currently reflects a balanced, neutral state.
Open Interest (the total outstanding derivative contracts) has also fluctuated between negative and positive 30% relative to recent highs, indicating a mixed market stance. If bearish momentum from U.S. investors persists, Bitcoin could face further short-term losses for holders.
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**Conclusion**
The surge in Bitcoin’s trading volume highlights active market participation, largely influenced by large-scale liquidations and strong selling pressure, especially from U.S. investors and whales. While some bullish signs remain, growing outflows and bearish bets suggest potential short-term downside risks. As the broader market maintains a neutral posture, traders and investors should stay alert to rapidly changing sentiment and price dynamics in the coming days.
https://ambcrypto.com/300b-in-bitcoin-volume-but-u-s-traders-bet-against-btc-heres-why
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