Cryptocurrency Turnover Increased by 93% in Q1 2022

According to Capital.com quarterly report, cryptocurrency turnover increased by 93 percent in the first quarter of 2022.

As shown by trading platform Capital.com, the Ether (ETH) to the United States dollar (USD) combination attracted the most traders from January to March 2022. The Dogecoin (DOGE) to USD pair was held by the most significant number of traders in 2021, according to the report. However, for the first time in the trading platform, the ETH/USD pair has seized the top spot for most traders.

The report showed that crypto turnover increased by 93 percent throughout the quarter. Despite the optimistic numbers, the report acknowledges that the increase in revenue does not reflect broader market trends because the figure was attained due to a few single-day volume surges.

The larger market is currently disinterested, according to Capital.com. The Bitcoin (BTC) slump from November to January affects retail traders’ interest in crypto, according to Capital.com’s head analyst David Jones. Crypto traders, according to the analyst, are “herd creatures” motivated by momentum.

Following a spike in investor involvement in January, the following months saw a drop. The number of digital asset traders on the platform fell by 16 percent in February. The following month, the number fell by another 10%.

On Monday, the price of ETH rose past $30,900, bringing it closer to the $2,000 barrier. Analysts cautioned, however, that despite the rebound, the prices’ upward trajectory may be less than the mid-year performance of 2021. On the other hand, some analysts believe that over the summer, the price could rise to $2,700.Meanwhile, the Ethereum Ropsten testnet is transitioning to a proof-of-stake (PoS) consensus.

Tim Beiko, an Ethereum engineer, announced that on June 8, the Ropsten testnet will combine with the new Ropsten Beacon Chain, which was deployed on Monday. Before the Ethereum mainnet migrates to PoS, two additional testnets, Goerli and Spolia, will make the switch.