Crypto exchange trading volume doubled in just five days last week, jumping from a yearly low to $37 billion in daily turnover as Bitcoin and Ethereum staged their most violent bull rally in over a year.
Bitcoin gained over 23% during the week while Ethereum surged more than 30%, pushing total daily exchange volume back up from the year’s weakest levels. The altcoin market, represented by total crypto market capitalization excluding BTC and ETH, rose roughly 13% over the same period.
Monthly Volume Still Trails July
Despite the sharp weekly rebound, August trading volume is tracking behind July’s total of $670 billion. So far in August, exchanges have processed $490 billion in volume, suggesting the rally alone may not be enough to offset earlier weakness.
The current environment also reflects a structural shift in where crypto demand flows. Spot ETFs now compete directly with centralized exchanges for Bitcoin and Ethereum trading, channeling institutional demand through regulated TradFi rails instead of crypto-native venues. This cycle, traditional finance instruments allow for more derivatives and optionality while plugging directly into existing financial infrastructure.
CEX Market Share Under Pressure
However, demand for most altcoins continues to flow to centralized exchanges, where listing speed, trading pair depth, and smaller-cap token support remain advantages that ETF structures cannot replicate. A third force pulling from CEX volumes is the growth of decentralized exchange options like Hyperliquid and Lighter, which have been steadily capturing market share.
The weekly $37 billion peak remains well below the 12-month high of $105 billion set shortly after the October 2025 liquidation event, indicating significant room for recovery if the current momentum persists. If markets continue expanding at their current pace, all venues are expected to benefit from the competition to accumulate tokens across the crypto ecosystem.
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