LMAX Digital volumes cooled off from Monday levels but were healthy overall on Tuesday. Total notional volume for Tuesday came in at $750 million, 11% above 30-day average volume.

Bitcoin volume printed $307 million on Tuesday, 10% below 30-day average volume. Ether volume came in at $228 million, 138% above 30-day average volume.

Looking at average position size over the past 30 days, we’re seeing average bitcoin position size at $10,908 and average position size for ether at $2,747.

Market volatility remains elevated and is tracking just off peak levels. We’re looking at average daily ranges in bitcoin and ether of $4,550 and $237 respectively.

There is a sense all of the drama and worry around trade wars could be fading away, which should get the crypto market back to focusing on its own fundamentals.

Most of what we’ve seen this week has been an intense selloff on the back of worst fears around trade tariffs, followed by a recovery as the US administration has pivoted to a milder approach.

But as all this has been happening, we have been getting more positive updates in the world of crypto.

In a long overdue move, the SEC is making moves to cut back its crypto enforcement unit, while beefing up the focus on regulating digital assets so that investors have a clearer framework.

All of this plays into President Trump’s goal of scaling back on government intervention in an effort to encourage the US as a global leader in digital assets.

Meanwhile, White House Crypto Czar David Sacks was out on Tuesday talking about his group’s priority in evaluating the establishment of a bitcoin reserve.

A lot of this clarity and support for broader crypto assets should be a welcome development for ETH, the world’s second largest crypto asset. Ethereum has been the home for projects in crypto where regulatory clarity is essential. So these recent moves should ultimately be supportive of ETH.

We believe this should put more attention on the ETHBTC ratio, which has been trending lower for many months. These latest developments could be the necessary spark to inspire a reversal in this trend where we start seeing a run of ETH outperformance relative to bitcoin.