November marked a significant resurgence in cryptocurrency trading, with monthly spot trading volumes reaching an impressive $2.71 trillion, the highest figure since May 2021. This surge more than doubled October’s trading volume of $1.14 trillion, according to data provided by The Block.
Binance Leads the Market
The data revealed Binance as the dominant player in the market, processing $986 billion in trades and securing a 36% market share.
Other Major Exchanges See Growth
Other leading exchanges, including Crypto.com, Upbit, and Bybit, also demonstrated strong performances, with each exceeding $200 billion in monthly trading volumes.
Futures Markets Experience a Rally
The positive momentum extended to futures markets. Bitcoin futures achieved $2.59 trillion in trading volume, while Ethereum futures reached $1.28 trillion—both marking their highest levels in over two years.
Pro-Crypto Political Developments Drive Growth
The reelection of pro-crypto Republican Donald Trump as U.S. President on November 6 significantly influenced market sentiment. This political event triggered a price rally that saw Bitcoin reaching an all-time high of $99,635 and Solana achieving a new peak later in the month.
GMCI 30 Index Gains
The GMCI 30, an index tracking the top 30 cryptocurrencies, rose by 62.3% during November, further reflecting the market’s bullish trend.
SEC Chair’s Resignation Boosts Optimism
Adding to the positive developments, SEC Chair Gary Gensler announced his resignation in November. This news was well-received by the crypto community, which anticipates a shift toward less stringent regulations.
Historic Month for Bitcoin ETFs
November was also a record-breaking month for Bitcoin exchange-traded funds (ETFs) in the U.S., with investors pouring $6.4 billion into spot BTC ETFs.
BlackRock Dominates ETF Inflows
BlackRock’s iShares Bitcoin Trust ETF led the pack, securing $5.6 billion—or 87%—of the total inflows, as reported by Farside Investors. Fidelity’s Wise Origin Bitcoin Fund followed with $962 million, while Grayscale’s Bitcoin Mini Trust ETF and VanEck Bitcoin ETF attracted $211.5 million and $71.2 million, respectively.
Market Sentiment Reaches New Highs
Bitcoin’s price surged by 45% in November, climbing from $68,000 to an unprecedented $99,000. Analysts attribute this rally to strong inflows from institutional and retail investors.
Outflows Persist Despite Inflows
Despite the positive trend, some ETFs experienced outflows, with Grayscale Bitcoin Trust ETF losing $364 million, followed by Bitwise Bitcoin ETF ($40.4 million) and Valkyrie Bitcoin Fund ($6.8 million).
Crypto Fear & Greed Index Hits Peak
Investor sentiment, measured by the Crypto Fear & Greed Index, reached a yearly high of 92 on November 22, reflecting robust market confidence. Although the index slightly declined in December, optimism remained strong.
Altcoins Contribute to Grayscale’s Growth
Grayscale Investments saw a significant boost in its cryptocurrency holdings during November, driven by the strong performance of altcoins like Stellar (XLM) and XRP. Cryptorank data shows an 85% increase in the market capitalization of Grayscale’s portfolio over the past month.
Conclusion
November 2024 was a pivotal month for the cryptocurrency market, marked by record-breaking trading volumes, political developments, and strong investor sentiment. With Bitcoin entering a critical price discovery phase, market participants remain optimistic about the future
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