Data from CryptoQuant shows that Bitcoin-denominated trading volumes have dropped 35% over the past 24 hours as Silvergate’s liquidation impacted the market.
Meanwhile, the total number of transactions on the Bitcoin blockchain fell by 17% over the same period, and the number of active addresses dropped by 10%. According to data from CoinGecko, the average daily trading volume of Bitcoin in March was about $25 billion, while the average daily trading volume of Bitcoin in February was about $36 billion.
Guilhem Chaumont, CEO of Paris-based market maker and brokerage Flowdesk, said: “When the news broke about Silvergate’s financial difficulties, coupled with the drop in the price of Bitcoin, we saw a significant drop in trading volume across the ecosystem.