A Report Claims that At Least Half of Bitcoin’s Trading Volume is Made Up

Bitcoin

For over a decade, Bitcoin (BTC) has dominated the entire cryptocurrency industry in terms of demand, value, and trading volume.

There is no altcoin that has come close to what Bitcoin seems to have achieved in terms of its factors. However, a recent study based on the data collected from multiple cryptocurrency exchanges has revealed rather shocking data for the crypto community.

Exchanges Show Different Figures for Bitcoin Trades

Whenever the trading data for Bitcoin is to be recorded, it is the major cryptocurrency exchange which the data is collected from.

However, the data recently collected from at least 157 cryptocurrency exchanges seems to be giving different data than what you may see for Bitcoin on the daily tracking data.

As per the cryptocurrency data analysts, there is a mismatch between the trading data of Bitcoin. The mismatch is between the actual trading data of Bitcoin versus the data reported by the reporting exchanges.

The Differences are Enormous

According to the research, the actual trading volume on small exchanges is almost 95% less than what they were reporting.

On the other hand, major cryptocurrencies also reported more than double of the actual trading volume being recorded. Among the major cryptocurrency exchanges were Bybit and Binance.

The research showed that the combined BTC trading data claimed by Bybit and Binance was $217 billion while the actual data at the same time was $89 billion.

Fake or Non-Economic Data

According to the data, it can be said that more than half the reported data surrounding the trading volume is non-economic or fake. This means that the firms are adopting wrong and misleading figures to make Bitcoin look more attractive and lucrative.

The research carried out by one of the analysts showed that on June 14, the actual trading volume for Bitcoin was worth $128 billion.

However, a look at the data collected from the cryptocurrency exchanges and other firms shows that the trading volume was $262 billion. This means that the actual volume was less than half of what had been claimed by the exchanges.

Untrustworthy Trading Data                                                            

The analysis firms claim that even the data claimed by the most regulated and highly monitored cryptocurrency firms cannot be fully trusted. Therefore, the data provided by these firms is also untrustworthy.

The reason behind Showing Fake Figures

For investors and analysts, the success story of an asset or a company is narrated through the figures and numbers generated by the entity.

In order to bring masses to a particular asset, it is important that strong gains and trading volumes are shown. However, it seems that the exchanges are taking things too far by making false claims to add traction to the largest cryptocurrency.

At the time of writing, the 24h trading volume of Bitcoin is worth $24.59 billion and its trading value is worth $19,834.19, up 0.43% in the same period.