Year-End Trading Patterns: What's Happening with Market Makers
December 26th snapshot reveals something predictable yet telling about this time of year—market maker activity has hit rock bottom. We're talking extremely thin volumes in the MM sector, which is exactly what you'd expect during the holiday window.
This isn't a surprise to anyone who's traded through December before. When most market participants are offline or running skeleton crews, liquidity provision naturally dries up. The major active entities show limited engagement compared to typical trading days, and spreads reflect that reality.
Why does this matter? Well, thinner MM volumes mean wider spreads, less efficient price discovery, and generally choppier market conditions. If you're planning any significant moves in the coming days, just keep this seasonal pattern in mind—it's not unique to 2024, it's a feature of the crypto calendar.
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fren.eth
· 3h ago
Damn, liquidity really dried up at the end of the year, spreads are ridiculously wide... Only the tough ones dare to move their positions at such times.
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CryptoNomics
· 3h ago
ah yeah, MM liquidity dried up predictably—but honestly most traders still won't adjust their risk models accordingly. the seasonality is there in the data, they just refuse to see it.
Reply0
HorizonHunter
· 3h ago
During holidays, it's really easy to get liquidated. With such low liquidity, the spreads are ridiculously wide, and any order can be easily eaten up.
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InscriptionGriller
· 3h ago
Haha, how many years has this routine been played out by the end of the year? MM has already gone on holiday, and liquidity is completely dead.
With such low trading volume, you still want to catch the bottom? Be careful not to get trapped.
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NFTRegretter
· 3h ago
Damn, it's that damn time again... The spread is ridiculously wide, making it impossible to operate.
Year-End Trading Patterns: What's Happening with Market Makers
December 26th snapshot reveals something predictable yet telling about this time of year—market maker activity has hit rock bottom. We're talking extremely thin volumes in the MM sector, which is exactly what you'd expect during the holiday window.
This isn't a surprise to anyone who's traded through December before. When most market participants are offline or running skeleton crews, liquidity provision naturally dries up. The major active entities show limited engagement compared to typical trading days, and spreads reflect that reality.
Why does this matter? Well, thinner MM volumes mean wider spreads, less efficient price discovery, and generally choppier market conditions. If you're planning any significant moves in the coming days, just keep this seasonal pattern in mind—it's not unique to 2024, it's a feature of the crypto calendar.