On January 25th, according to data disclosed by CryptoOnchain, the total trading volume within Bitcoin exchanges has fallen to its lowest level since 2022, at approximately 14,000 BTC. This continued decline indicates a significant reduction in Bitcoin trading volume within exchanges, indicating weakened market-making capabilities and liquidity compression.
Within the Binance platform, liquidity is hovering near historical lows of around 2,700 BTC. Reduced internal liquidity has led to higher open interest, fewer arbitrage opportunities, and a thinner order book, increasing the market's sensitivity to shocks. Historically, once market activity recovers, sharp directional swings have occurred.
