Volumes at LMAX Digital have cooled off a bit to start Q4 2021. Of course, this is entirely a surprise after September’s total notional volume traded to its highest levels since the record setting performance in May.

On Monday, total notional volume came in at $1.03 billion, down 19% from 30-day average volume. Bitcoin volume came in at $585 million, down 9% from 30-day average volume, while ether volume came in at $276 million, down 29% from 30-day average volume.

Looking at average position size over the past 30 days, we’re seeing average bitcoin position size at $9,436 and average position size for ether at $4,819.

Volatility has been slowly picking up since finding a bottom in July. We’re now looking at average daily ranges in bitcoin and ether of $2,440 and $232 respectively.

A lot of distress in traditional markets around US government disruptions and scandals at the Federal Reserve.

All of this has been supportive of crypto assets, with many believing the outlook on this front to be more constructive given the decentralized nature of the asset class.

On Monday, there was broad downside pressure on the US Dollar, which only added to the demand for crypto assets.

Meanwhile, US equity futures are trying their best to recover out from recent lows, which could also serve to prop crypto on its ties to this correlation.

It’s also been interesting to see demand for crypto in the face of recent equity market weakness. We’ve certainly seen evidence of at least the ‘risk off-crypto off’ side of the correlation fading away.

There’s been plenty of positive developments with respect to regulatory acceptance of late, which may be helping the cause.