Liquidity shrinking into a few pools — what’s your play?
Spot volume hit a low not seen since last October. That’s a lot of dry powder just sitting on the sidelines — or is it fleeing to a handful of exchanges? Makes me wonder if we’re one big move away from a liquidity crunch or a breakout.
Liquidity disappearing into a few hands
Just saw that spot volumes dropped to their lowest since October 2023. That’s a big drop-off. And at the same time, liquidity seems to be concentrating on fewer exchanges. Makes you think — are traders just sitting out, or is capital quietly migrating to the deepest books?
When liquidity pools get shallow, even modest size moves can spike price. Could be a recipe for sudden squeezes or nasty slippage depending on which side you’re on. I’m watching order book depth more closely now.
What’s your take — does low volume signal we’re close to a turn, or just more boredom ahead? 🤔
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