The CEO of Binance, Changpeng Zhao, has highlighted that crypto traders are returning. And returning in large numbers
In a new interview with CNBC’s Zhao said the number of orders being placed on the leading crypto exchange is now at an all-time high.
“Basically, the fact that the price can go up so quickly means that there was actually a lot of money waiting to buy Bitcoin. And they were really fearing missing out – the FOMO mentality. So the fact that the price can go up so quickly means all that money was ready, which basically means that people still have a lot of confidence in this industry. So it’s not like everyone is scared away.
We’ve definitely seen more stablecoin deposits in the last few days, for sure. And not only that, the trading volume per transaction, the number of transactions, the number of orders people are submitting, is at an all-time high. We’re actually seeing more orders than January of 2018.
It’s just that now, the Bitcoin price is a little bit lower, so the total trading volume in US dollars seems lower. But we’re actually seeing – trading volume wise, system load wise – we’re at an all-time high. And user registrations jumped as well. So all indications are things are going up. Every piece of data we have is going up right now.”
According to Zhao, trading volume began to increase ahead of last week’s big surge in the price of BTC.
“To be honest, there was a little bit of a warming up, even before the spike. So one or two months ago, the speed of registrations was picking up. But the bigger growth corresponded very tightly with the spike itself. So when you’re spiking, there are more people registering. So the curve is very similar. Even the Bitcoin price itself was warming up before the spike. So the curve is very, very correlated.”
The positive sentiment has been echoed by other commentators. Nigel Green, founder and CEO of deVere Group, one of the world’s largest independent financial advisory organizations, said “there is a mounting sense that Bitcoin is back”, and so, averred that the crypto winter has reached its end.
Nigel, whose deVere Group performs business in over 100 countries with more than $12bn under advisement, believes Bitcoin could go as far as $7,000, pointing that institutions are beginning to realise that “unless they truly embrace crypto” it may be hard for them to compete since their customers are fascinated towards cryptocurrencies.