LMAX Digital volumes were lighter overall on Wednesday. Total notional volume for Wednesday came in at $578 million, 15% below 30-day average volume.

Bitcoin volume printed $269 million on Wednesday, 21% below 30-day average volume. Ether volume came in at $144 million, 48% above 30-day average volume.

Looking at average position size over the past 30 days, we’re seeing average bitcoin position size at $10,859 and average position size for ether at $2,697.

Market volatility remains elevated and is tracking just off peak levels. We’re looking at average daily ranges in bitcoin and ether of $4,451 and $230 respectively.

Bitcoin remains confined to a choppy, directionless consolidation. The intense setbacks in financial markets to start the week have been absorbed, with demand emerging well ahead of critical range support in the $90k area.

The setbacks in the price of ETH and overall ETH underperformance has been far more pronounced, though now that ETH has seen such a meaningful pullback, the timing could be ripe for the start to an overdue price surge.

Technically speaking, ETH should be very well supported above the $2k area. Fundamentally, with adoption ramping up into 2025 and the US government embracing crypto, an uptick in demand for the world’s second largest crypto asset should be forthcoming.

Of course, a lot of what has been driving crypto markets right now has been all things global macro. Trump tariffs, China retaliation, geopolitics, and the US economic outlook are all at the forefront of investor minds.

At the moment, Fed funds futures are pricing 46 basis points of rate cuts in 2025. Tomorrow’s monthly employment report out of the US will be important to keep an eye given how the result could influence this pricing.

If the US data comes in on the stronger side, it will invite renewed US Dollar demand, which could in turn weigh on crypto assets as the US Dollar gains ground across the board.

If the data comes in below forecast it will open Dollar selling and likely prop up equity markets on the implication the data will lead to more investor friendly monetary policy.

This should then support crypto markets, which have been more heavily tied to risk correlations in recent weeks.