Altcoin Trading Volumes Spike Across Kraken, OKX, and Upbit

The year 2023 has seen a much-needed crypto market rebound. Bitcoin and other markets went up substantially, despite some steep market resistance. Interestingly, altcoin trading has flipped BTC trading on most major exchanges.

When Bitcoin rebounded, it was a matter of time before alternative markets followed suit. Even though BTC has noted a substantial gain of over $6,000 per coin, many people look for small-cap investment opportunities. Aptos, for instance, has seen a bullish January, even if its momentum has stalled a bit. Avalanche also noted substantial gains, as did Canto and various other currencies.

However, there is a golden rule to consider. When altcoins gain value, it doesn’t automatically mean the projects are good or worthwhile. It is much easier to manipulate small-cap altcoins than to affect the BTC price. Even so, altcoin trading can lead to noticeable gains when one finds the right market. That may explain why many exchanges note a hefty increase in altcoin trading between late 2022 and early 2023.

Following data from Kaiko, it is evident where traders go for trading altcoins. Although Binance has the most liquidity and many prominent trading pairs, its altcoin volume represents just 37%. However, these statistics do not include ETH pairs on Binance or any other exchange. As such, the overall trading volume for altcoins may be slightly higher, but the overall trend shouldn’t differ much. 

One contributing factor to Binance’s dominance in BTC trading is its zero-fee approach. As a result, exchange users do not pay fees when trading BTC against most fiat currencies and prominent stablecoins. That puts more profit into traders’ pockets, incentivizing trading BTC over altcoin trading. 

Another exchange where BTC trading remains prominent is Coinbase. That isn’t surprising, as many people rely on that platform for their first cryptocurrency purchase. Opting for Bitcoin makes sense, as it is easy to access and has high liquidity. Moreover, it is a gateway into alternative markets. However, Coinbase also has a healthy amount of altcoin volume.

Things look very different for Kraken, OKX, and Upbit. All three exchanges primarily note altcoin trading volume. In the case of Upbit, that volume represents 92% of all trading activity these days. That doesn’t mean Koreans don’t want exposure to Bitcoin. Instead, it appears they are keener on diversifying their portfolios. That is always a sensible move, even if it means dealing with additional volatile assets. 

Kraken and OKX also note far more altcoin trading than BTC volume. Both platforms have 75% of their volume in alts and the remainder in BTC. That is a remarkable trend, although it confirms a successful altcoin season might be around the corner. 

Traders should remain cautious when approaching these volatile markets, though, Altcoins can see their value fluctuate faster and more intensely than Bitcoin for no apparent reason. 

None of the information on this website is investment or financial advice and does not necessarily reflect the views of CryptoMode or the author. CryptoMode is not responsible for any financial losses sustained by acting on information provided on this website by its authors or clients. Always conduct your research before making financial commitments, especially with third-party reviews, presales, and other opportunities.

JP Buntinx

JP Buntinx has been writing about cryptocurrency since 2012. His interest in crypto, blockchain, fintech, and finance allows him to cover a broad range of different topics.

Published by
JP Buntinx

Recent Posts

KuCoin Launches a $1 Million Bug Bounty Program on HackenProof, the Biggest Bounty Reward among Crypto Exchanges to Strengthen Security Protection

VICTORIA, Seychelles--(BUSINESS WIRE)--KuCoin, the top 5 global cryptocurrency exchange, today announced its partnership with cybersecurity…

30 mins ago

Bitget Becomes the First Centralized Exchange to Offer Financial Transparency Through Space and Time

Victoria, Seychelles, 27th March, 2023, ChainwireBitget, the largest crypto copy trading platform, has announced a…

31 mins ago

Chinese Banks Continue To Show Keen Interest In Crypto Despite “Blanket Ban”

Despite the ban on cryptocurrency in China, several financial institutions in China have expressed interest…

34 mins ago

BC.Game Bonus Code – Redeem to get a tremendous crypto reward

BC.Game LATEST PROMO CODES 2023+ Full Review Promo codes are means used by casinos to…

1 hour ago

Construction Giant XCMG Chooses Conflux for NFTs and Future Global Blockchain Applications

Toronto, Canada, 27th March, 2023, Chainwire​​XCMG Construction Machinery Co., Ltd. (000425.SZ), the world's third largest…

2 hours ago

OKX Launches Turkish Lira Deposits and Withdrawals

Victoria, Seychelles, 27th March, 2023, ChainwireOKX makes it more convenient than ever to directly deposit…

2 hours ago