According to a recent quarterly crypto market report by CCData, digital assets experienced a significant rally in the first quarter of 2021, led by the market leader Bitcoin (BTC). During this period, BTC posted a 72.3% gain, rising to $28,477, and continued to push its price above $30,000.
The report also revealed that the monthly trading volumes for the quarter averaged $932 billion, a 16.8% decline from the 2022 monthly average of approximately $1.12 trillion. Additionally, liquidity on centralized exchanges such as Coinbase (NASDAQ:COIN) and Binance decreased, while decentralized exchanges like UniswapV3 saw their liquidity grow by more than 200%.
The crypto market saw a consolidation of trading volumes in the first quarter of this year, with the top 8 exchanges currently accounting for 70.5% of the total trading volume in the market, up from January 2022’s 62.7%. Decentralized exchanges, such as UniSwap, saw their combined average monthly volume rise from $76.1 billion in Q4 2022 to $97 billion, marking a 27.6% increase in the combined average monthly volume on decentralized exchanges.
At press time, the price of Uniswap (UNI) stands at $6.30, according to CoinMarketCap, which is a 0.91% decrease in UNI’s price over the last 24 hours. Furthermore, UNI weakened against the altcoin leader Ethereum (ETH) by 0.30%, while its price against Bitcoin (BTC) posted a 24-hour gain of 0.30%.
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In conclusion, the crypto market experienced a significant rally in the first quarter of 2021, with Bitcoin leading the charge. While trading volumes declined, liquidity on decentralized exchanges grew, with UniswapV3 seeing a remarkable 200% increase. As always, readers should exercise caution and conduct their own research before making any investment decisions.
