January saw the highest monthly trading volume for Bitcoin since September 2022.

After four months of increased trading volume, there was an increase in volume worth $1.21 trillion. Bitcoin BTC

-1.05%
According to data from The Block, this is the amount moved on-chain in January 2024. This is the largest amount of value moved on-chain since September 2022, when the price of Bitcoin was around $20,000.

The fact that Bitcoin has failed to surpass $1 trillion in trading volume in any month of 2023 except for December, as well as Bitcoin’s record low active supply, suggests that traders are eagerly awaiting the approval of a spot Bitcoin ETF. As these ETFs are finally approved, trading volume appears to increase accordingly. In fact, January marked the fourth consecutive month of increased volume since September 2023 saw only $550 billion in volume move.

According to Glassnode analysts, long-term Bitcoin holders currently appear unwilling to part with their coins and instead “appear to be calmly riding the market waves.” In fact, monthly transactions on the Bitcoin network actually declined between December 2023 and January 2024, according to data from The Block.

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