Crypto Volume Doubles in Five Days, But Lags Behind October High

The weekly cryptocurrency trading volume surged to $37 billion last week, more than doubling in just five days. According to data from The Block, this rebound follows a period of subdued activity and is still below the 12-month high of $105 billion recorded in mid-October.

However, August's monthly volume has been significantly lower at $490 billion compared to July's $670 billion. This suggests that while short-term momentum can spike, sustained participation has yet to return to earlier levels.

The emergence of spot exchange-traded funds (ETFs) is directing a portion of investment demand away from centralized exchanges (CEXs), which could shape liquidity patterns and fee revenues for major platforms in the coming months. Despite this shift, most altcoin trading still occurs on CEXs due to their higher volatility and broader retail appeal.

The volume recovery offers a glimpse into market sentiment, but it does not signal a full recovery yet. With August tracking below July and the shadow of October's high still looming, traders and platforms should watch whether ETF adoption continues to reshape demand patterns.