Crypto Market Liquidity Hits 2026 Lows Amid Declining Trading Activity
Crypto market liquidity has reached its lowest level this year, according to data from Kaiko. Daily spot volumes across tracked exchanges dropped to around $15 billion last week.
This decline comes as major cryptocurrencies trade at significantly lower prices than their all-time highs. Bitcoin is currently trading near $64,000, a nearly 50% drop from its October 2025 peak. Ethereum's price has also decreased by 62% since its ATH, with XRP and Solana experiencing even larger declines.
The shift away from centralized exchanges (CEXs) in favor of decentralized exchanges (DEXs) may be contributing to the decline in market liquidity. Data from The Block shows DEX volume increasing relative to CEX platforms throughout 2026, reaching a ratio of over 46% in August.