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Cryptocurrency Market Update: Coinbase customers went on Bitcoin buying spree amid price collapse

  • The US-based exchange published a report on traders' activity.
  • The vast majority of retail traders purchased Bitcoin after the sell-off.

Retail cryptocurrency traders bought Bitcoin right after the epic price collapse on March 12, according to the recent report published by the US-based cryptocurrency exchange Coinbase.

The record trading activity in the recent 24 months was registered within 48 hours after the collapse of Coinbase's retail trading platform. Bitcoin (BTC) was the most popular asset, while its trading volumes were approximately six times larger from the long-term average. Over $1.3 billion in fiat currencies and digital assets were transferred to and from the accounts during the market sell-off, which is five times more than an average volume of deposits.

Also, the exchange noted that the number of new clients doubled during the period of extreme volatility, while buyers outnumbered sellers.

Our customers typically buy 60% more than they sell but during the crash this jumped to 67%, taking advantage of market troughs and representing strong demand for crypto assets even during extreme volatility.

A the FXStree has reported, similar picture was registered by the European cryptocurrency trading services provider 2gether.

The market is a mixed picture

Bitcoin is changing hands at $6,450 with over 2% of gains on a day-to-day basis. The first digital asset hit the intraday high at $6,525 and has been moving within the short-term bearish trend ever since. The local support is created by $6,300. Once it is cleared, the sell-off may be extended to $6,000.

ETH/USD has been oscillating in a tight range since the beginning of Tuesday. The coin tested area above $134.00 during early Asian hours but failed to hold the ground as the bullish momentum cannot gain traction amid high uncertainty.

XRP/USD has barely moved in recent hours. At the time of writing, XRP/USD is changing hands at $0.1725 with the local support created by $0.1700. The short-term upside trend line now comes at $0.1655.

BTC/USD 1-hour chart


 

Author

Tanya Abrosimova

Tanya Abrosimova

Independent Analyst

 

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