LMAX Digital volumes put in another solid performance on Wednesday. Total notional volume for Wednesday came in at $991 million, 23% above 30-day average volume.

Bitcoin volume printed $601 million on Wednesday, 16% above 30-day average volume. Ether volume came in at $182 million, 52% above 30-day average volume.

Looking at average position size over the past 30 days, we’re seeing average bitcoin position size at $11,119 and average position size for ether at $3,075.

Market volatility has trended higher in recent weeks. We’re looking at average daily ranges in bitcoin and ether of $3,654 and $186 respectively.

Bitcoin continues to consolidate below $100k and remains exceptionally well supported into dips.

The fundamental backdrop remains constructive and there is evidence of additional demand in recent sessions on the back of broad based month-end related US Dollar outflows.

The bigger story this week has been around the price of ETH and the possibility we are finally seeing the formation of a major bottom in the ETHBTC ratio after trending lower since 2021.

We’ve already spent time talking about this potential shift and our view has since materialized as evidenced by the strong ETH outperformance over the past several days.

Interestingly enough, we’re now seeing ETH outperformance relative to bitcoin on a 30-day basis for the first time in many months.

The notable pickup in ETH CME futures volumes and added demand for the spot ETH ETFs is providing additional confirmation for this shift towards ETH.

We believe the improved outlook for the decentralized finance space (warmer regulatory climate with incoming US administration) is a main driver behind the shift in sentiment, as market participants can now see a clearer path towards investment in Ethereum.