The return of transaction fees on Binance triggered a massive drop in Bitcoin spot trading.
According to the Block Research team, in April, the amount of transactions on this platform collapsed by 65%. The weakening of traders’ activity was already observed in March, but last month it took on a large-scale character.
Simon Cuzart, from The Block Research Unit, said that Binance’s decision to return fees has dealt a severe blow to the activity of both traders and market makers, whose strategies depend on the size of transaction fees.
Bitcoin was able to partially bounce back this week after falling below $28,000.
Many observers believe that the cryptocurrency will only be able to return to $30,000 and even exceed this psychological threshold if it transforms the $28,000 mark into a strong support zone.
