Crypto Spot Trading Volumes Plunge 66% from Their Highs as Upcoming Cycle Approaches

Bitfinex reports a significant decline in crypto spot trading this quarter, with volumes decreasing 66% from their peak in January as traders withdraw amid weakened ETF inflows and a volatile macroeconomic landscape.

In a Sunday post on X, the exchange highlighted that this slowdown is reminiscent of prior market cycles, where prolonged lulls often signal the onset of the next cycle phase.

According to data from CoinMarketCap, 30-day crypto spot volumes have dropped from over $500 billion in early November to about $250 billion this week.

Throughout late November and early December, trading activity struggled to maintain a range above $300–$350 billion, with several sessions falling towards $200 billion—levels not witnessed in months. This decline followed a brief spike in mid-November when volumes topped $550 billion before a quick retreat, according to the data.

Related: Brazil’s largest private bank advises investors to allocate 3% to Bitcoin in 2026

Bitcoin nearing breakout as key levels tighten

Meanwhile, market analysts note that the current climate resembles past pre-breakout phases. In a recent post on X, Michaël van de Poppe observed a tightening price structure in Bitcoin (BTC), suggesting that significant macro events in the upcoming week could lead to increased volatility.

“Bitcoin remains above this critical level, but I’m confident we’ll see volatility intensify substantially in the coming days,” he stated.

He pointed out key levels at $89,000 and $92,000, arguing that a breach above resistance could accelerate a move toward $100,000 before 2026, while a loss of support might lead to a retest of lower ranges.

Related: Bitcoin rallies fail at $94K despite Fed policy shift: Here’s why

Crypto slips despite fed cut

As Cointelegraph reported, Bitcoin briefly surged to $94,330 early this week, buoyed by Strategy’s $962 million investment, marking its largest Bitcoin purchase since mid-2025.