LMAX Digital volumes were looking up for the second consecutive day on Wednesday. Total notional volume for Wednesday came in at $254 million, 41% above 30-day average volume.

Bitcoin volume printed $167 million on Wednesday, 50% above 30-day average volume. Ether came in at $64 million, 69% above 30-day average volume.

Looking at average position size over the past 30 days, we’re seeing average bitcoin position size at $4,276 and average position size for ether at 1,678.

Volatility has been anemic in 2022, and after seeing a little pick-up in recent weeks, we’re right back down to yearly low levels. We’re looking at average daily ranges in bitcoin and ether of $371 and $43 respectively.

We’re getting set to close out the month and year. Bitcoin and ether are down some 2% and 6% respectively on the month, but a much more devastating 65% and 68% on the year.

Clearly, as far as prices go, it’s been an exceptionally challenging year for crypto assets. At the same time, a sizable pullback was anticipated coming into 2022 following the parabolic price run of late 2021, and given what looked to be less favorable global macro fundamentals with inflation starting to really pick up pace.

And so, as we head into 2023, the outlook is finally looking a lot more upbeat, with the balance of risk leaning back towards the topside. We believe there will be some more weakness in early 2023 that could take bitcoin back down to $10k. But any additional declines are expected to be very well supported for the start to the next big bull run.

As far as stories this week go, there has been a good amount of attention around the news of MicroStrategy purchasing additional bitcoin. The company has been selling shares and using the proceeds to finance the bitcoin purchases.

We’ve also heard from Galaxy Digital, with the company stepping in and agreeing to purchase Argo Blockchain’s Helios mining facility for $65 million. On top of this, Galaxy Digital has also agreed to provide a $35 million loan secured by Helios’ mining equipment.