Major trading firms in the United States, such as Jane Street Group and Jump Trading, are scaling back their involvement in the domestic crypto markets due to increasing regulatory uncertainties and associated risks. This retreat is causing a significant void in the once vibrant U.S. crypto landscape, which could deter interest from institutional investors.
According to recent repport of ARK Investment Management, a well-respected global asset manager and advocate of bitcoin, these developments are causing crypto liquidity in the U.S. to decrease substantially and leading to greater volatility in crypto prices. Data from CoinMetrics suggests that Bitcoin’s daily trading volume has fallen dramatically, from $20 billion per day in March to just about $4 billion last week.
This withdrawal is further evidenced by the gap in Bitcoin price on Binance.US, which last week was approximately $600 higher than on other exchanges, indicative…
