Market Share Redistribution in Cryptocurrency Exchanges as Crypto.com Gains on Binance

A digital asset data firm, CCData, disclosed in its Oct. 3 report that Binance has witnessed a notable decrease in its market dominance.

CCData’s report notes that Binance’s spot market stake has dwindled to 27%, the smallest percentage since January of the previous year, viewable via this document.

The publication also mentions a 22.9% drop in Binance’s spot exchange volume, descending to $344 billion in September, the exchange’s weakest monthly spot volume recorded since November of the year before.

Yet, even with these reductions, Binance maintains its top position in terms of volume.

Market Share Shifts from Binance to Crypto.com

Binance has also seen its derivatives market share fall to 40.7%, the smallest since September of two years prior. Furthermore, its overall market share combining spot and derivatives fell to 36.6%, also a record low since the same date.

Despite these dips, Binance remained the top derivatives exchange by trading volume last month, with trades amounting to $1.25 trillion, a figure 20.6% lower than that of August.

Declines were also seen with exchanges such as Binance, Upbit, and OKX, which lost 5.3%, 4.6%, and 4.0% of their market shares, bringing them to 27.0%, 2.5%, and 3.9%, respectively.

On the other hand, Crypto.com is experiencing growth. With more than a 40% increase in both spot and derivatives trading volumes, its aggregate market share leaped to 11%, ranking it as the fourth-largest centralized trading exchange by volume.

Present data from CoinGecko places Crypto.com second to Binance in terms of daily spot exchange volume with close to $8 billion, with Bybit following at $5 billion.

The analysis further showed that the derivatives exchanges that performed best in terms of month-to-month gains were Crypto.com and Coinbase, with increases of 42.8% and 7.05%, reaching $149 billion and $1.88 billion, in that order.

In the matter of derivatives market share, Bybit upholds its third-place position with 15.3%, and OKX commands 18.4%.

The report also highlighted that crypto derivatives constituted just above 70% of the total cryptocurrency market volume.

Trading Tendencies in September

September has been identified within the report as a typically quieter month for trade volumes.

“This reduction in monthly trade volume aligns with the conclusion of the seasonality phase, which is often marked by diminished transaction activities.”

While Octobers are usually expected to signal bullish trends, the crypto markets have seen an 8% slump, translating to approximately $200 billion already since the onset of the month.

Nonetheless, the findings suggest a trend of market share moving away from long-standing exchanges like Binance to rising platforms such as Crypto.com, possibly indicating a shift in trader preferences within the crypto sphere.