Cryptocurrency exchange volumes increased 25.9% to $3.81 trillion last month when combining volumes from the spot and derivatives markets, recording the third consecutive month of increases. However, the rise caused Binance's spot market share to fall for the first time in five months.
According to the latest from CCData Exchange Review ReportCentralized cryptocurrency exchanges have posted their highest spot and derivatives volumes since September 2022 in a month marked by the multi-stablecoin depegs, including USDC, and positive market performance.
The report details that Binance lost some of its spot market dominance among top-tier exchanges for the first time in five months, falling from 62% in February to 57.7% in March. This happened around the same time that BinanceUSD faced legal issues, and Binance stopped offering free trading for the BTC-BUSD and ETH-BUSD pairs.
However, Binance spot trading volume rose slightly to $554 billion. Other exchanges grew the most with OKX and Coinbase rising 29.7% and 23.5% to $54.9 billion and $49.3 billion, respectively.
Binance continues to offer fee-free transactions for the BTC-TUSD and ETH-TUSD trading pairs. Meanwhile, its share of the derivatives market has risen to a new all-time high of 64%.
The report adds that last month, derivatives trading volumes on centralized cryptocurrency exchanges rose 32.6% to $2.77 trillion, the highest volume since September 2022. Meanwhile, trading volume at Cash on exchanges rose 10.8% to $1.04 trillion.
Derivatives trading on centralized exchanges, the report adds, increased its market share to a record 72.7%, up from 69% in February. The higher derivatives trading volume may be due to market speculation after several stablecoins including USDC lost their peg.
USDC lost its peg after it was revealed that $3 billion of the stablecoin's reserves were being held at Silicon Valley Bank, just as the financial institution was collapsing. The cryptocurrency regained its peg after the Federal Deposit and Insurance Corporation (FDIC) revealed that it would compensate depositors.
The CCData report also adds that CME BTC futures volume rose 40.5% in March, reaching $35.1 billion, the highest level since May 2022. CME BTC Micro Futures also experienced a 46.2% increase in monthly volume, trading $697 million.
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