LMAX Digital volumes put in another impressive day on Tuesday. Total notional volume for Tuesday came in at $504 million, 54% above 30-day average volume.

Bitcoin volume printed $281 million on Tuesday, 58% above 30-day average volume. Ether volume printed $160 million, 67% above 30-day average volume.

Looking at average position size over the past 30 days, we’re seeing average bitcoin position size at $7,275 and average position size for ether at 2,969.

Volatility is showing signs of picking back up in recent sessions after trading down to the lowest levels since earlier this year. We’re looking at average daily ranges in bitcoin and ether of $921 and $58 respectively.

After an initial wave of fear and shock from this week’s news of SEC action against Binance and Coinbase, crypto assets have recovered back to levels seen ahead of the news.

The price action is certainly encouraging and shows the market remains confident on the outlook for the space despite attempts to slow it down by way of a path to regulation that has been less than clear.

We think a lot of this also has to do with the fact that whatever happens from here is likely to be drawn out for months and years ahead, all of this leading into the possibility for a completely new US administration as we look ahead to the 2024 election.

At the same time, we are moving closer and closer towards a clear regulatory framework and this is also comforting to the many larger, institutional market participants anxious to get involved, but held up on the lack of clarity.

And behind all of the noise around the SEC suits has been a more upbeat story around the McHenry-Thompson draft proposal crypto bill outlining a clearer delineation of authority between the SEC and the CFTC.

Other encouraging news revolves around major players in the space upping their bets and increasing exposure. Cathie Wood’s fund has bought up Coinbase shares into this latest dip, while Michael Saylor’s bitcoin centric MicroStrategy shares have been running higher on news of the new partnership with Microsoft.