📉 Matrixport Analysis: Retail Still 'Missing' – Lower Interest Rates Also Hard to Create Sustainable Uptrend
Matrixport today released an analysis showing that the level of retail participation in the crypto market is very low – and this is the reason why the market struggles to rally strongly even though the Fed is cutting interest rates.
Notable data:
- Taking the South Korean market – where retail usually operates strongly – as an example: the current trading volume is only about 1 billion USD/day, too low compared to the peak at the end of 2023 and 2024, when it reached billions of USD per day.
- This reflects that retail money (mainly for short-term trading) has not clearly returned to the market.
- In this context, many new or expanding trading platforms still find it difficult to achieve sustainable volume growth.
- IPO plans that were once expected have also significantly slowed down, indicating that the overall market sentiment remains weak.
Matrixport concludes:
➡️ If retail does not return, even if the Fed loosens policy, the market will find it hard to enter a long-term growth cycle.
➡️ To put it bluntly: No volume → no sentiment; no sentiment → volume cannot expand either.
❓ In your opinion, what will be a strong enough catalyst to pull retail money back into the crypto market?
