Crypto Trading Volume Surpasses $10 Trillion for First Time in November
November marked a significant milestone in the cryptocurrency sector, with trading volumes across centralized spot and derivatives exchanges exceeding $10 trillion for the first time. This increase reflects the market's strengthening and maturation.
The surge, reported by CCData, showed a 100% increase in combined trading volume compared to the previous month. Factors contributing to this growth included renewed optimism following Donald Trump's presidential election victory. Bitcoin, often viewed as the market bellwether, increased by 38%, nearing a record high of almost $100,000.
“This sentiment is evident in the increased appetite for assets like Ripple, which has historically faced heightened regulatory scrutiny. Optimism is also evident on the institutional side, with CME volumes seeing a significant uptick and substantial inflows into spot Bitcoin ETFs over the past month,” said Jacob Joseph, senior research analyst at CCData.
Spot and Derivatives Trading Hit Historic Highs
Centralized exchanges (CEXs) experienced notable activity, with monthly spot trading volumes rising by 128% to $3.43 trillion, the second-highest total since May 2021. Derivatives trading increased by 89% to $6.99 trillion, surpassing its previous record from March.
Aggregate Monthly Spot Volumes | Source: CCData
South Korean platforms such as Upbit saw significant engagement as traders focused on altcoins. The CME exchange reported an 83% rise in aggregate trading volume, reaching an all-time high of $245 billion.
November was a record-setting month for several exchanges including Bybit, Crypto.com, Gate.io, and Bullish, all achieving their highest-ever trading volumes. This trend indicated increased engagement not only from retail but also from institutional players, signifying a broader market transformation.
“Several spot exchanges including Upbit, Bybit, Crypto.com, Gate.io and Bullish recorded a new all-time high for the monthly volume traded on their respective platforms,” the report noted.
Elections, Regulations, and the Ripple Effect
The U.S. presidential election acted as a catalyst for change in the crypto landscape. Trump's victory on November 5 generated expectations for a more favorable regulatory framework in the U.S., prompting investors to capitalize on the positive momentum in digital asset prices. Shares of Galaxy Digital, a prominent crypto trading desk, surged by 25% that day, marking its best trading performance of the year.
This optimism spurred interest in altcoins and enhanced traction for institutional products like Bitcoin ETFs. Options contracts linked to Bitcoin ETFs, introduced by the NYSE and Nasdaq after SEC approval in September, expanded market opportunities.
On November 18, BlackRock’s Bitcoin ETF options launched with $2 billion in exposure on the first trading day. Investment managers anticipate this will accelerate institutional adoption and create new avenues for Bitcoin holders to unlock value.