Augur Surges 35%, Low Volume of Bitcoin May Lead to Short-Term Drop

Over the past week, the volume of bitcoin has dropped from $5.5 billion to $3.5 billion, subsequent to a surge in the bitcoin price from $6,800 to $7,500.

36% Drop in Volume

In seven days, the volume of bitcoin has dropped by 36 percent, by more than $2 billion. The volume of ether, the native cryptocurrency of Ethereum, and Tether (USDT), the most widely utilized stablecoin in the global crypto market, have also declined by a similar margin.

A drop in the volume of bitcoin supplemented by an increase in the volume of Tether can be attributed to the tendency of crypto investors hedging the value of their portfolio to the US dollar. However, on July 22, the volume of both BTC and USDT dropped simultaneously, signifying that the demand for crypto in general has fallen in the past 48 hours.

As such, a drop to the lower end of $7,300 is a possibility in the short-term, despite the solid 2 percent gain of BTC on July 22, given its low trading volume and high Relative Strength…