Should fall in crypto trading volume concern Indian investors?

MUMBAI: As an asset class, cryptocurrencies have seen an exponential increase in global investor interest over the past year and had peaked in April this year. In India too, a similar trend was visible with crypto exchanges clocking impressive user additions and a sustained surge in daily trading volumes.

Over the past two-three weeks, however, volumes on Indian exchanges have tanked along with their global peers amid bearish mood in the crypto market.

“There has been a barrage of news that has been influencing increased price volatility in most cryptocurrencies, which has deterred many crypto traders from taking on incremental risk. Additionally, with most of the largest cryptocurrencies such as bitcoin and ether having corrected substantially from their peak prices,