LMAX Digital volume has been picking up this week and holding up well overall. Total notional volume for Tuesday came in at $1.4 billion, 17% above 30-day average volume.

Bitcoin volume printed $629 million on Monday, 2% above 30-day average volume. Ether volume jumped to $535 million, 41% above 30-day average volume.

Looking at average position size over the past 30 days, we’re seeing average bitcoin position size at $12,178 and average position size for ether running up to $9,372.

Volatility has been slowly picking up since finding a bottom in July. We’re now looking at average daily ranges in bitcoin and ether of $3,406 and $312 respectively.

The major cryptocurrencies have done an excellent job recovering from the weekend flash crash. A lot of this has to do with the fact that traditional markets have recovered as well, with risk sentiment turning back up as the week gets going.

But the fact that El-Salvador was out announcing it had bought the dip has perhaps also worked to calm nerves. And as far as the rebound in traditional markets goes, we’ve seen a China RRR cut and reduced fears around the new coronavirus variant.

As we continue to warn, into year end, we believe trading conditions in cryptocurrencies will be about where things are with traditional markets and investor sentiment. And we still see room for weakness on account of potential vulnerabilities in traditional markets.

We still see risk associated with a more hawkish Fed outlook in response to rising inflation. And we still see risk associated with fallout from the coronavirus.

Reports around hackers withdrawing about $150 million of crypto from BitMart wallets has not got that much attention and doesn’t appear to be having any material influence on the space.