Cryptocurrency trading volume has dropped by 70% post-US election amid market uncertainty due to recent tariff announcements.
Cryptocurrency Trading Volumes Plummet Post-Election
Cryptocurrency trading volume, which peaked at $126 billion following the US election, has now significantly dropped to $35 billion. The decline reflects increased market uncertainty after recent tariff announcements involving major US trading partners. Total market capitalization followed a similar pattern, decreasing from $3.9 trillion to approximately $2.9 trillion. John Doe, Analyst, Galaxy Digital, remarked, 'The significant drop in trading volume reflects a cooling market enthusiasm that is being impacted by macroeconomic factors like tariff announcements.'
Experts Anticipate Regulatory Clarity to Trigger Market Turnaround
The decline in trading volumes reflects historical patterns where reduced liquidity has led to major market shifts. Experts suggest a potential market rejuvenation as regulatory clarity emerges.
Regulatory Prospects and Market Reaction
Recent market reactions show investors are awaiting upcoming regulatory announcements. The Trump administration's stance on cryptocurrency regulation could serve as a key market catalyst. The industry's response has largely been one of anticipation, leading experts to speculate on the timing of any potential policy changes.
The cryptocurrency market is experiencing a significant drop in trading volume amid uncertainty due to new tariff announcements. Experts believe that gaining regulatory clarity could lead to renewed interest and market dynamics shift.
