Trading volumes on CEX reach lows from October 2020: Investors are increasingly relying on long-term investments instead of active trading.
Decline in CEX Trading Volumes: A Turnaround in Investment Behavior A significant decline in trading volumes on centralized exchanges (CEX) has been observed in recent months. These volumes have fallen to October 2020 levels. This decline is due to a notable change in the investment behavior of investors, who are increasingly inclined to hold their crypto assets rather than actively trade them. The shift from active trading to a holding strategy shows that many investors believe in the long-term increase in the value of cryptocurrencies. The decision to focus more on holding inventory could also be influenced by the current market situation and confidence in...

Trading volumes on CEX reach lows from October 2020: Investors are increasingly relying on long-term investments instead of active trading.
Decline in CEX Trading Volume: A Turnaround in Investment Behavior
A significant decline in trading volumes on centralized exchanges (CEX) has been observed in recent months. These volumes have fallen to October 2020 levels. This decline is due to a notable change in the investment behavior of investors, who are increasingly inclined to hold their crypto assets rather than actively trade them.
The shift from active trading to a holding strategy shows that many investors believe in the long-term increase in the value of cryptocurrencies. The decision to focus more on holding holdings could also be influenced by the current market situation and confidence in certain digital assets.
Investors are increasingly aware that the volatility of cryptocurrency markets can lead to short-term losses and are therefore betting on a long-term strategy based on stability and potential future appreciation. This development not only impacts CEX trading but could also influence the future dynamics of the entire cryptocurrency market.
Overall, the decline in trading volume on CEX appears to be not just a short-term trend, but rather an indication of changing investment behavior in the crypto sector. Investors are showing increasing interest in holding strategies, while active trading appears to be losing importance in comparison.