As per a tweet by crypto market data providerdated 20 June, Binance.US, the American arm of Binance, saw its market share plummet to 1%, from an all-time high of 27% recorded few months ago. This also marked a considerable drop on a year-to-date basis. The market share of Binance.US at the start of 2023 was 8%.
On the other hand, the largest crypto exchange in the country, Coinbase saw its dominance fall from 56% at the start of 2023 to 50%.Binance.US has been one of the biggest victims of the entire episode as a large-scale exodus by jittery market makers and traders sucked liquidity out of the trading platform. According to CoinGecko, the daily spot volume on the exchange collapsed more than 80% since the lawsuit by U.S. Securities and Exchange Commission .
Additionally, the flight of BTC from Coinbase accelerated as well since the start of the week with investors withdrawing more than 8,000 BTC tokens from the exchange on 20 June.The jump in withdrawals boosted the trading activity on Coinbase. However, at a broader level, the daily spot volumes on the exchange have been on a decline.
According to DeFiLlama, weekly trading volume across non-custodial exchanges plunged 71% as of 18 June. The drop indicated that a wider market FUD was at play. Traders were leaning towards accumulation and HODLing.