LMAX Digital volumes held up well overall on Tuesday. Total notional volume came in at $261 million, 19% above 30-day average volume.

Breaking it down per coin, bitcoin volume came in at $176 million, 51% above 30-day average volume. Ether volume came in at $33 million, 3% below 30-day average volume.

Looking at average position size over the past 30 days, we’re seeing average bitcoin position size at $5,958 and average position size for ether at $1,273.

Volatility is consolidating after a sharp rise out from extremely subdued readings and multi-month lows. We’re looking at average daily ranges in bitcoin and ether of $2,272 and $93 respectively.

The key takeaway is that crypto continues to show its relative resilience against an increasingly difficult global backdrop. Bitcoin has eased below $80,000 toward the upper-$77,000 area, but the pullback remains contained relative to the selloff across equities and other risk-sensitive markets.

Dips continue to attract demand, reinforcing our view that the market is consolidating after its recent surge and allowing overbought technical readings to unwind.

The immediate macro headwind is the renewed escalation between the US and Iran. The resulting surge in oil prices and Treasury yields has revived inflation concerns, strengthened the dollar and increased expectations for further Federal Reserve tightening.

Crypto is not immune to these pressures, but Bitcoin’s relatively modest decline compared with the weakness in technology stocks is encouraging and suggests the market is trading on more than conventional risk appetite alone.

Ethereum has followed Bitcoin lower, although it remains well above its levels from before the late-August rally.

ETH’s recent relative strength is an important sign that participation is extending beyond Bitcoin, but the market will need to retain that broader participation if the next leg higher is to prove sustainable.

The structural backdrop also continues to improve. A group of 21 major financial institutions, including Bank of America, Citi, Goldman Sachs and Deutsche Bank, has committed to establishing a company supporting the launch of a dollar-denominated stablecoin in 2027.

Meanwhile, the latest G20 finance ministers and central-bank governors’ statement formally recognized digital assets as a key policy priority, providing another indication that the asset class is becoming embedded within the mainstream financial system.

Russia’s new regulated framework for cryptocurrency trading has also taken effect, following President Putin’s approval of legislation covering exchanges, brokers, custodians and investor access.

Overall, the market’s resilience alongside these institutional and regulatory developments strengthens the case for crypto as an increasingly credible portfolio diversifier, even if it remains too early to claim a complete decoupling from traditional risk assets.