The combined total trading volume within the cryptocurrency spot and futures markets amounted to approximately $8.8 trillion within the half-moon , consistent with two new industry reports. The amounts represent a huge 314% quarterly increase for futures trading and 104% for spot trading. Further, the correlation between commodity exchange trading volume and bitcoin’s price in Q1 2020 was “extremely low.”

Over $6.6 Trillion Traded in Cryptocurrency commodity exchange

Two recently published reports from Tokeninsight have revealed the state of the cryptocurrency spot and derivatives markets within the half-moon of this year. For its “Q1 2020 Cryptocurrency Spot Exchange Industry Research Report,” the corporate studied quite 300 crypto spot exchanges. However, thanks to unreliable data from some small exchanges and therefore the challenges of determining data authenticity, only 295 exchanges were included within the analysis, 41 of which were new platforms and 16 were decentralized exchanges. The report reads:

The whole trading volume of the entire market during this quarter was 6.6 trillion US dollars, a rise of 104% [quarterly].

The actual volume shown within the report was $6.647 trillion. “Although there’s a wash trading volume, the industry continues to develop significantly,” the report adds, noting that “The correlation between market trading volume and bitcoin price is extremely low” in Q1 2020.

$8.8 Trillion Traded in Cryptocurrency Spot and Futures Markets in Q1: Reports
According to a Tokeninsight report, the total trading volume of the entire cryptocurrency spot market in Q1 2020 was $6.647 trillion.

In addition, the study found that bitcoin’s dominance had increased compared to last year. “In the downward market, investors have insufficient confidence in non-mainstream cryptocurrencies,” the report claims, asserting that “Bitcoin will maintain its dominant position within the half of this year.”

The 279 centralized exchanges accounted for about $6.47 trillion of the entire trading volume. “There are still many fake volumes within the emerging centralized exchanges,” the report warns. Tokeninsight has rated the reliability of huge cryptocurrency exchanges supported factors like safety, operations, trading, experience, and terms of use. consistent with its evaluation, the highest exchanges are Binance, Okex, Huobi Global, Coinbase Pro, and Kraken.

As for the 16 decentralized exchanges included within the analysis, the report shows that their combined trading volume reached $180 billion within the quarter, quite 90% of which were traded on Etherflyer.

$8.8 Trillion Traded in Cryptocurrency Spot and Futures Markets in Q1: Reports
Tokeninsight has ranked large cryptocurrency exchanges for their reliability. Binance, Okex, Huobi Global, Coinbase Pro, and Kraken top the ranking.

Tokeninsight may be a data and blockchain financial company founded in 2017. Its data, ratings and research reports are from quite 70 global data platforms, including Messari, Delta, Binance Info, Aicoin, and Huobi Info.

Over $2 Trillion Cryptocurrency Derivatives Traded

Another report by Tokeninsight, entitled “2020 Q1 Cryptocurrency Derivatives Exchange industry Report,” details the state of the cryptocurrency derivatives market. The analysis included 12 derivatives exchanges, like Bitmex, Okex, Huobi DM, Binance Futures, Deribit, Bitget, Binance JEX, FTX, Gate.io, BFX.nu, Bitz, and Kumex. The report describes:

In 2020 Q1, the entire futures trading volume within the industry reached $2.1048 trillion, a rise of 314% from 2019 four quarters’ average.

“Except for a small decline in 2019 Q4, the trading volume of cryptocurrency futures has grown steadily in 2019; the entire market turnover in 2020 Q1 is roughly 8x than 2019 Q1,” the report emphasizes. Three major cryptocurrency futures contracts — BTC, ETH, and EOS — accounted for quite 90% of the entire crypto derivatives market turnover in Q1 2020. BTC alone accounted for 78%.

$8.8 Trillion Traded in Cryptocurrency Spot and Futures Markets in Q1: Reports
The total cryptocurrency futures trading volume in the first quarter of this year shows a significant growth of 314% from 2019 four quarters’ average.

The analysis also found that the coefficient of correlation between cryptocurrency futures trading volume and spot trading volume fell to 0.31 from 0.76 within the previous quarter, suggesting that “the futures exchange participants may are relatively independent from the spot.”

While the company’s derivatives exchange industry report for the year 2019 shows that the cryptocurrency futures exchange turnover last year was about 20% of the spot, the share this year is predicted to extend substantially. Noting that “the total turnover of cryptocurrency futures has reached quite 33% of the spot” within the half-moon , the report details:

It’s expected that the futures trading volume for the year 2020 are going to be quite doubled the commodity exchange … Compared with the thought of money is king within the current market conditions, the cryptocurrency futures industry remains developing rapidly.

The report also highlights that there are six exchanges with a complete futures turnover exceeding $100 billion in Q1 2020: Huobi DM, Okex, Bitmex, Binance Futures, Bitget, and Bybit. Only Huobi DM and Okex had volumes above $400 billion. Meanwhile, “Fully regulated exchanges haven’t developed significantly, with CME and Bakkt trading volumes of US$6.83 billion and US$1.51 billion, respectively,” the report concludes.

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