As Bitcoin enthusiasts keenly watch the $52,000 mark, a deeper examination into Bitcoin's liquidity reveals shifting sands beneath the market's surface. CryptoSlate, leveraging Kaiko's rich data, uncovers the nuanced dance of buy and sell orders within a critical 2% market depth, unveiling the precarious balance that maintains Bitcoin's price stability. Against the backdrop of a potential supply squeeze, this analysis promises insights into the fluid dynamics of liquidity that could very well dictate the future of crypto trading.
![How do US exchanges contribute to Bitcoin’s market liquidity?](https://cryptoslate.com/wp-content/themes/cryptoslate-2020/imgresize/timthumb.php?src=https://cryptoslate.com/wp-content/uploads/2024/02/bitcoin-liquidity_.jpg&w=70&h=37&q=75)
How do US exchanges contribute to Bitcoin’s market liquidity?
US exchanges account for a relatively small portion of the global trading volume but provide 49% of the global liquidity, which suggests they have greater market depth to facilitate larger transactions for a smaller number of traders.
![How do US exchanges contribute to Bitcoin’s market liquidity?](https://cryptoslate.com/wp-content/uploads/2024/02/bitcoin-liquidity_-768x403.jpg)
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.