Binance's market share continues to decline amid rally

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Binance has less of a reason to celebrate the ongoing crypto rally.

The recent surge in cryptocurrencies has injected fresh vigor and enthusiasm into an industry that had been severely impacted by FTX's collapse, regulatory scrutiny, and numerous bankruptcies. We're so back, right anon?

Nonetheless, the sense of relief that bitcoin price cresting $35,000 brings to certain market participants might not be shared by others. Specifically, Binance, which has experienced a gradual decrease in its market share over the past year, comes to mind. According to data from The Block's data dashboard, its market share among exchanges that do not support USD has decreased from 74% in December 2022 to 50% this month.

In any case, these personnel changes are just the beginning. The company is also grappling with charges from both the Commodities Futures Trading Commission and the US Securities and Exchange Commission. This development has raised concerns among a number of trading firms, leading them to scale back their trading activities on the exchange.

The pullback among traders from Binance was particularly evident on October 23. While Bitcoin was on the rise, Binance's market share virtually dropped to zero, coinciding with Bitcoin's surge to $34,000. In contrast, OKX witnessed its market share surpassing 50%, according to data from Kaiko. It's quite unusual.

 

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